Trade Construction Company is finishing out a small strip mall under subcontract to Beaumont Buildings. The contract requires Trade to indemnify Beaumont for liability resulting from Trade’s negligence in performing its operations. Which of the following accurately represents Trade’s coverage for this obligation under his standard CGL policy?
a. Trade has coverage only to the extent he would have been liable in the absence of the contract.
b. Trade has coverage for third-party bodily injury or property damage due to the “insured contract” exception to the contractual liability exclusion.
c. Trade has coverage for damage to the building he is constructing due to the “insured contract” exception to the contractual liability exclusion.
d. Trade has coverage for both third-party bodily injury or property damage and damage to the building he is constructing due to the “insured contract” exception to the contractual liability exclusion.