Single SIR Payment by Insured Satisfied Two Policies

SEATTLE - A Washington appeals court held that a developer's payment of $105,000 toward the cost of defending against construction defect claims satisfied the $100,000 self-insured retention provisions in two separate commercial general liability policies. Bordeaux Inc. v. American Safety Insurance Co., No. 59947-0-1 (Wash. Ct. App., Div. 1).

The Court of Appeals, Division One, ruled on July 7 that American Safety Insurance Co. must reimburse Bordeaux Inc. for another $100,000 the developer contributed to a $630,000 settlement with condominium owners who blamed siding and other defects for water intrusion.

The Bordeaux Condominium Owners Association sued Bordeaux on Nov. 19,2004, …