I have a question based on an audit. ISO excludes inter-company sales from products/completed operations if the policy has an inter-company products exclusion. What about the entire exposure if the policy has a cross suit exclusion? What exposure remains?
New York Subscriber
The cross suits exclusion would exclude liability suits involving one named insured against another named insured, based on the ISO Cross Suits exclusion endorsement CG 40 10 12 19. If there is a subsidiary or other inter-related entity that is not listed on the policy as a named insured, the cross suits exclusion endorsement would not apply to that subsidiary or entity, as the endorsement is specific that it only applies to named insureds under the policy.
If the insured is an auto dealer, there is a separate cross suits liability exclusion for the auto, form CA 27 16 11 20.
Of course, if there is an umbrella or excess policy, the exclusion should be added to that policy as well.