What it does
CG 21 31 excludes ongoing operations and products-completed operations at the scheduled locations when the named insured is enrolled in a controlled (wrap-up) program, whether or not that program provides identical coverage or adequate limits. However, the exclusion does not apply if the wrap-up has been cancelled, nonrenewed or otherwise no longer applies for reasons other than exhaustion of all available limits. The insured must tell the insurer of the cancellation, nonrenewal or termination as soon as practicable.
Who needs it
Contractors on wrap-up projects, particularly where completed operations coverage under the wrap-up may not last for the full statute of repose.
Key provisions and limits
- Same "controlled (wrap-up) insurance program" definition as CG 21 54.
- The 12 19 edition says "Controlled"; the 05 09 edition said "Consolidated".
Quoting and selling notes
- Preferred over CG 21 54 by contractors; ask carriers which form they will use.
- CG 40 07 and CG 40 08 add limited exceptions for additional insureds.
