Insurance, Exclusions, Rain, Faulty Workmanship, 1, 3
The all risk insurance policy for the plaintiff HOA excluded rain damage unless the building first suffered damage from a covered cause followed by damage from rain that entered through the damage to roof or walls caused by the covered cause. The policy also excluded loss due to a contractor’s faulty work. This decision holds that there are triable issues of fact as to whether the policy covered rain damage that the building suffered while a contractor was repairing its roof. The contractor had removed (in order to replace) the outer water resistant layers of the roof, leaving the rest of the roof intact, covering the roof with tarps in the meanwhile. Two rain storms blew the tarps away and penetrated the roof causing substantial interior damage. There were triable issues as to whether the contractor’s use of tarps was faulty workmanship and whether purposeful removal of outer layers of the roof disallowed the exception to the rain damage exclusion.