Final answer:
An appliance store's Commercial General Liability insurance may cover the damages and injuries from an exploding refrigerator compressor if it is considered an 'occurrence'. Coverage depends on the specifics of the policy, including exclusions or endorsements. Investigation into the policy language and coverage details is key to determining whether a claim would be covered.
Step-by-step explanation:
The question concerns whether an appliance store's Commercial General Liability (CGL) insurance policy would cover damages and injuries caused by an exploding refrigerator compressor after installation. Generally, a standard CGL policy provides coverage for bodily injury, property damage, and personal and advertising injury caused by an occurrence that takes place in the covered territory. If the incident is considered an 'occurrence' and the policy is in effect, the store's CGL coverage may step in to cover the claim, including the damage to the lady's kitchen and her injuries.
It is crucial to investigate the specifics of the store's CGL policy, including any exclusions or endorsements that may apply. Some policies may exclude coverage for work completed by the insured, known as a 'completed operations' hazard, while others might cover such incidents. Thus, determining coverage will depend on the language of the policy. If the damage is indeed excluded from the store's CGL policy, a separate insurance policy may be necessary to cover such risks.
In this case, the store likely installed the refrigerator with the expectation that it would function correctly without causing harm. The explosion of the compressor is an unforeseen and sudden event that might meet the definition of an 'occurrence'. If the policy does not specifically exclude such an incident or the damages resulting from installed appliances, the store's insurance may very well cover the damages and injuries incurred.