Defective Design and Roof Collapse

June 2, 2015

The insured suffered a casualty loss when heavy accumulations of snow on the roof of its premises caused the roof to collapse. The insurance company denied coverage, citing the exclusion based on no liability for inadequate or defective roof system installation and design.

Evidently, an insurance company engineer found that the stringer brackets were placed five feet apart and the roof planks about seven feet apart. Therefore, there was a design defect such that the roof could not withstand the load. The insurance company also said this defect was latent and cited an exclusion for latent defect as another basis to deny liability. The insured purchased the premises, and these roof conditions were existing at the time of purchase. He had no idea about the spacing. He feels the other part of the policy, which allows for coverage, trumps this exclusion, and coverage should apply.

Rhode Island Subscriber

The ISO CP 10 30, Causes of Loss – Special Form, contains an additional coverage for collapse. The coverage applies to loss or damage caused by abrupt collapse if caused by use of defective materials or methods in construction if the collapse occurs after construction is complete and if the collapse is caused in part by a specified cause of loss. Weight of snow is a specified cause of loss, so the situation you describe would be covered under this form. The form does contain an exclusion for defective design, but if the defective design results in a covered cause of loss (which the collapse from weight of snow would be), then the loss or damage from the covered cause of loss is covered.

Of course, if your form does not contain these provisions or contains different wording, coverage may not apply.

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