Impaired Property

Tangible property which cannot be used or has become less useful because it incorporates the insured’s product or work which is defective of inadequate, or because the insured has failed to fulfill a contractual obligation.
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A liability exclusion relating to the insured’s faulty products or work that results in an impairment to the property to which it is attached assuming the insured can salvage the situation by replacing the property or redoing the work.

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