Insured granted coverage from contractor’s commercial general liability policies

Insured granted coverage under contractor’s commercial general liability policies for damage caused by faulty workmanship.

Insurance law – Commercial general liability insurance – Property damage – Coverage – Exclusions.

Tragger v. Intact Insurance Co., [2025] A.J. No. 1248, Alberta Court of King’s Bench, November 24, 2025, M.J. Lema J.

The insured’s sought coverage under their contractors’ two commercial general liability policies, one with Royal & Sun Alliance (“RSA”) and one with Intact, for the removal and replacement of stone siding installed with faulty workmanship.

The insured hired a company to supply and install stone siding to two buildings. The hired company supplied the siding and hired a subcontractor to install it. The siding was installed in 2007. In 2014, material portions of the siding began to delaminate, forcing the insured to remove and replace all of it. The insured successfully sued both companies in summary judgment proceedings but was unable to collect any amount of the judgment. The insured relied on s. 534 of the Insurance Act, seeking recovery from the first company contractor’s general liability insurers, RSA and Intact. With respect to the RSA policy, the Court found coverage and no applicable exclusions. Intact had issued several policies.  The Court found coverage and no applicable exclusions on one policy and coverage but application exclusions on two other policies.   

This case was digested by Alicia Catalano and edited by Steven W. Abramson of Harper Grey LLP.  If you would like to discuss this case further, please feel free to contact them directly at [email protected] or [email protected].