ll insurance policies have terms and conditions, which specify how coverage applies, as well as coverage exclusions. The familiar saying of “the devil is in the details” may apply to any contract, including insurance policies. A common exclusion in the Commercial General Liability (CGL) policy is the Care, Custody, or Control Exclusion. What is care, custody, or control? A quick look in Merriam Webster’s online dictionary gives us a simplified baseline reference for what these three words mean.
- Care: (noun) effort made to do something correctly, safely, or without causing damage
- Custody: (noun) the act of protecting or taking care of something
- Control: (transitive verb) to have power over (something)
All three terms have a common reference point, i.e. how something is or needs to be handled, whether it is attention to, protection of, or power over.