McGranahan

MEMORANDUM AND ORDER

Plaintiff Michael D. McGranahan (“McGranahan” or “plaintiff’) brings this action against defendant The Insurance Corporation of New York (“INSCORP” or “defendant”) for breach of the duty to defend, breach of the duty to indemnify, breach of the covenant of good faith and fair dealing, and declaratory relief. . Plaintiff moves for partial summary judgment on his claims for breach of the duty to defend and breach of the duty to indemnify. Defendant moves for summary judgment on all of plaintiffs claims. For the reasons set for below, plaintiffs motion is GRANTED in part and DENIED in part, and defendant’s motion is DENIED.

BACKGROUND

A. The Insurance Policy

INSCORP issued a Commercial General Liability policy (the “policy”) to Jeff Stewart Drywall, Inc. (“JSD”) effective August 1, 1997. (DRUF ¶ 1.) JSD renewed the policy each year such that it was effective between August 1, 2002, and August 1, 2003. (PRUF ¶ 1.)

The policy provided that INSCORP would defend and indemnify JSD against any suit seeking damages for property damage caused by an “occurrence.” (PRUF ¶2.) The policy defined an occurrence as an “accident, including continuous or repeated exposure to…