What is the Completed Operations Hazard?

• A. BI/PD arising after the insured's work is completed, from the insured's products or completed work.
• B. BI/PD arising during the insured's ongoing operations.
• C. BI/PD arising from advertising injury.
• D. BI/PD arising from injuries to employees.

Answer: (A)

Completed Operations Hazard covers bodily injury or property damage that occurs after the insured’s work has been completed and is caused by the insured’s products or the completed work. The key idea is that the risk arises from finished work or products, even if the incident happens later or away from the contractor’s premises. For example, if a contractor installs a water heater and, months later, the heater leaks and damages a customer’s property, that claim would fall under completed operations.

This differs from ongoing operations hazard, which applies to injuries or damages that occur during the course of the work while it’s still in progress. Advertising injury is a separate type of liability coverage that deals with things like libel, slander, or misappropriation of advertising ideas. Injuries to employees fall under workers compensation or employer’s liability, not the general liability policy’s completed operations coverage.