Thank you for sharing!

Your article was successfully shared with the contacts you provided.

The care, custody, or control exclusion in the commercial general liability (CGL) form is often the subject of many coverage disputes and misunderstandings.

To clarify things a bit, the exclusion applies only to personal property. Exclusions applicable to real property — such as buildings and permanently attached fixtures — are separate items in the liability policy. Also, the majority of court cases support the view that care, custody, or control refers to actual possession or direct physical control as distinguished from having the legal right or legal title to the property. Courts typically hold that control exercised by the insured must be exclusive; that is, the insured must have total possessory control not shared with any other entity in order for the exclusion to be applicable.

Want to continue reading?
Become a Free
PropertyCasualty360 Digital Reader.


  • All PropertyCasualty360.com news coverage, best practices, and in-depth analysis.
  • Educational webcasts, resources from industry leaders, and informative newsletters.
  • Other award-winning websites including BenefitsPRO.com and ThinkAdvisor.com.

Already have an account?



Join PropertyCasualty360

Don’t miss crucial news and insights you need to make informed decisions for your P&C insurance business. Join PropertyCasualty360.com now!

  • Unlimited access to PropertyCasualty360.com - your roadmap to thriving in a disrupted environment
  • Access to other award-winning ALM websites including BenefitsPRO.com, ThinkAdvisor.com and Law.com
  • Exclusive discounts on PropertyCasualty360, National Underwriter, Claims and ALM events

Already have an account? Sign In Now
Join PropertyCasualty360

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.