Food Spoliation Claim

March 18, 2013

The insured has coverage under a CG 00 01 (12-04) form. After completing improper repairs on a refrigeration unit, the unit malfunctioned and was rendered inoperable until repairs by someone other than the insured were made several days later. During the interim period, the food within the unit spoiled.

Is there coverage for the food spoliation claim?

Colorado Subscriber

The insured's work caused damage to another's property. There was physical injury to tangible property and loss of use of that property so the definition of property damage has been met. The exclusions pertaining to the work of the insured are not applicable since he was not working on the food. The repair to the refrigeration unit is not going to be covered, but that does not affect coverage for the spoiled food.