The lengthy Exclusion J is designed to bar coverage under the CGL policy for damage to property of the insured. If the insured wishes to obtain coverage for possible damage to its property, it is anticipated that separate property coverage will be obtained.

A recent version of Exclusion J in the standard CGL policy provides that the policy will not cover:

''Property damage'' to:

(1) Property you own, rent or occupy;

(2) Premises you sell, give away or abandon, if the ''property damage'' arises out of any part of those premises;

(3) Property loaned to you;

(4) Personal property in the care, custody or control of the insured;

(5) That particular part of real property on which you or any contractors or subcontractors working directly or indirectly on your behalf are performing operations, if the ''property damage'' arises out of those operations; or

(6) That particular part of any property that must be restored, repaired or replaced because ''your work'' was incorrectly performed on it.

Paragraph (2) of this exclusion does not apply if the premises are ''your work'' and were never occupied, rented or held for rental by you.

Paragraphs (3), (4), (5) and (6) of this exclusion do not apply to liability assumed under a sidetrack agreement.

Paragraph (6) of this exclusion does not apply to ''property damage'' included in the ''products-completed operations hazard.''

The property exclusion includes both real and personal property unless the exclusion refers particularly to real or personal property. Thus, coverage of damage to either real or personal property owned, rented, or occupied by the insured is excluded under paragraph (1). Paragraph (1) also extends the exclusion to work on the insured's property, such as erecting barriers to prevent run-off of pollution on to property of others, that may be required to prevent damage to property that does not belong to the insured.

Through paragraph (2), the exclusion also applies to damage to property of third parties if the property was owned by the insured but then sold, given away, or abandoned.

Damage to property loaned to the insured and personal property in the insured's care, custody, or control is excluded by paragraphs (3) and (4). Coverage under the CGL policy for damage to real property of others also is excluded if the damage resulted from operations of the insured or its contractors or subcontractors being performed on the real property. Finally, if the damage is to real or personal property and is due to incorrect work on the property by the insured, coverage for liability of the insured will not be provided under the standard CGL policy.

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