Property & Casualty Insurance/Garage liability


How if at all does the policy respond to a vehicle wrap company that while installing a wrap scratches a vehicle severely?  Is there an exclusion for that part of your work under this scenario or are there companies with endorsements for this?
Thanks, Joe

Hey Joe,

Thanks for your question.

In most situations these days, companies are using the CGL policy to cover non-dealer exposures.  There are, however, some companies that continue to use the old ISO forms and rules  I'm going to answer you question based on ISO.  If you have a different form, please feel free to attach it in a follow up question.

Without a doubt there is no coverage in the CGL.  Exclusion J.(6) in the CGL excludes property damage to "that particular part of any property that must be restored, repaired, or replaced because "your work" was incorrectly performed".  J.(4) excludes property damage to "personal property of others in the care, custody, or control of the insure".  Either of those will kill coverage.

In the old ISO Garage Coverage Form, Exclusion 13.- Work You Performed says this:  "Property damage" to "work you performed" if the "property damage" results from any part of the work itself or from the parts, materials or equipment used in connection with the work.  

Either way, your insured will not have coverage for scratching the vehicle.  I don't see any way to get coverage for that.  The industry looks at that as a warranty of workmanship and is beyond the scope of insurance.

I hope that helps a little.  It's probably not the answer you were hoping for.

Let me know if you have additional questions.

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Jay K. Williams, AAI, AIP, CIC, CRM


I can answer questions relating to the following coverages: personal auto; homeowners; commercial auto; commercial liability; commercial property; business income and all other property and casualty coverages.


I have been in the insurance industry in Florida since 1979. I am currently the president of a Florida domestic insurance company subsidiary. I've taught continuing education classes in Florida and across the country. I am quite familiar with all coverages including Florida Condominium master policies and unit owner policies. I also specialize in agent professional liability. I have been a professional educator since 2001.

I am a member of the Florida Associaion of Insurance Agents, the state affiliate of the Independent Insurance Agents and Brokers of America.

I currently carry the following professional designations: Accredited Advisor in Insurance (AAI) Associate in Insurance Production (AIP) Certified Insurance Counselor (CIC) Certified Risk Manager (CRM)

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