The article of the month deals with the meaning of the term “subcontractor”. The article analyzes the meaning of the word and sorts out the differences among contractor, subcontractor, and materialman (the supplier). The article covers the liability insurance perspective, the surety bond perspective, and the property insurance perspective. Also included are court cases wherein the meaning of subcontractor is discussed and defined. See the designated article in the FC&S Bulletins.

The court cases include results from the Court of Appeals of Georgia, the Court of Appeals of Arkansas, and the United States District Court, Minnesota. The Georgia court offers a very good analysis of the business risk exclusions in relation to a claim for property damage at a construction site. The Arkansas court discussed a negligence claim based on the alleged failure to properly advise the insured about coverage needs and the failure to secure adequate coverage. The U.S. District Court interprets the employee dishonesty insuring agreement after the insured sought coverage for the loss of returns on investments.

Questions and Answers

Can an injured club member make a claim against the named insured club? See Club Member as Additional Insured. Insured put diesel exhaust fluid into a Ram pickup. Is the resulting damage considered a mechanical breakdown? See Mechanical Breakdown Exclusion under the BAP.

Insured slipped and fell on his own car. How would med pay and physical damage coverages apply? See Med Pay and Physical Damage Coverages under PAP. How does the your work exclusion apply if insured did not properly restain a fence? See Your Work Exclusion Inquiry.

AAIS Home Based Business Coverage Form

This article discusses the AAIS Home-Based Business coverage form for business property. See The AAIS Home-Based Business Coverage Form—Property.

AAIS Farm Personal Liability Coverage

This article reviews the AAIS Farm Personal Liability Coverage. See AAIS Farm Personal Liability.

AAIS Commercial Properties Program

The general features of the AAIS Commercial Properties Program's Building and Personal Property Coverage Part are discussed in this article. The article has been reviewed and updated to incorporate changes made to the ISO program in comparison to the AAIS program. See AAIS Commercial Properties Program.

AAIS Commercial Inland Marine Program

The article discusses the AAIS Commercial Inland Marine Program and how it relates to the ISO program. The article has been reviewed and updated to reflect changes made to the ISO program against which the AAIS articles is compared. See AAIS Commercial Inland Marine Program.