Product Update

Court Interpretations of "Arising Out of" Discussion Expanded in Contractual Risk Transfer

The phrase "arising out of," as used in pre-2004 editions of CG 20 10 and other additional insured endorsements, has been given a consistently broad interpretation by the courts. This interpretation is consistent with the intent of additional insured endorsements—as coverage grants. When the same language is found in an exclusion—a bar to coverage—a court is likely to interpret this same phrase quite differently. This Contractual Risk Transfer release contains an updated and expanded discussion of "arising out of" and additional insured status, including a new section focusing on court interpretations of "arising out of" as used in exclusionary endorsements.

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