Care, Custody, or Control Exclusion and Dropped Trailer
March 21, 2012
Our insured is a stevedoring business. While loading a trailer on a truck, the insured lost control of his crane, dropping the trailer from a considerable height, damaging the trailer and the merchandise inside the trailer. I would like to know if the care, custody, or control exclusion under the CGL form applies to the trailer and the merchandise inside the trailer.
Florida Subscriber
The application of the care, custody, or control exclusion depends on the facts of the situation. All courts will apply the exclusion so long as the insured has possessory control at the time the property is damaged. In this instance, if the insured owns the crane and is in control of the stevedoring operation, he had the trailer and its contents in his care, custody, and control when the damage occurred. So, the exclusion applies.