What does completed operations liability refer to?

Prepare for the Surplus Lines Licensing Exam. Study with interactive quizzes and detailed explanations to boost your confidence and chances of success on the exam day!

Completed operations liability refers specifically to the responsibility that a contractor or business holds for damages or injuries that occur as a result of their work after the project has been completed and the services have been delivered. This type of liability is often tied to situations where issues arise due to the work that was done, even if the company is no longer actively involved at the job site.

In the context of the given choices, the option indicating liability resulting from work performed at a non-controlled site correctly aligns with the definition of completed operations liability. This means that if a contractor or service provider has completed a job and the work is later found to cause damage or harm, they could be held liable, despite not having control of the site anymore.

Other options involve situations that do not pertain directly to completed operations. For instance, ongoing construction projects deal with liabilities during the project, while employee injuries relate to workers' compensation, which falls under a different type of liability. Additionally, the disposal of hazardous waste pertains to environmental liabilities rather than the liability connected to completed operations. Understanding these distinctions is crucial in grasping the concept of completed operations liability.

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy