Sentry Insurance v. American National Fire Insurance

MEMORANDUM **

Sentry Insurance A Mutual Company (“Sentry”) appeals the summary judgment grant in favor of American National Fire Insurance Company (“American”). We reverse and remand.

The district court erred by concluding that the underlying loss did not “arise out of’ the “product” of Sentry’s insured, MFM Electrologic (“MFM”). Sentry’s commercial general liability policy specifically excluded from coverage any injury or damage included within the “products-completed operations hazard” (“PCOH”) exclusion. This exclusion applied to injuries and damages occurring “away from premises you own or rent” and arising out of “your product” or “your work.” The Sentry policy defined “your product” as “any goods or products ... manufactured, sold, handled, distributed or disposed of’ by the insured. Under the policy, “your product” also includes “warranties or representations made at any time with respect to the fitness, quality, durability, performance or use of ‘your product’ ” and “the providing of or failure to provide warnings or instructions.” See generally Travelers Cas. & Sur. Co. v. Employers Ins. of Wausau, 130 Cal.App.4th 99 , 29 Cal.Rptr.3d 609 , 618-19 & n. 6 (2005)…