What it does
CG 22 50 excludes "bodily injury" or "property damage" arising out of the failure of any insured to adequately supply gas, oil, water, electricity, steam or biofuel. It does not apply if the failure results from sudden and accidental injury to tangible property owned or used by an insured to procure, produce, process or transmit the supply.
Who needs it
Electric, gas and water utilities, fuel oil and propane dealers, steam suppliers and biofuel producers.
Quoting and selling notes
- Explain that service interruption claims (frozen pipes after a missed fuel delivery, for example) are excluded unless tied to sudden and accidental damage to the insured's supply equipment.
- Ask about service contracts that promise delivery or supply levels; contractual guarantees may also need review by counsel.
