North Carolina trigger

In Alliance Mutual Ins. Co. v. Guilford Ins. Co., No. COA10-619 (N.C. Ct. App. March 15, 2011)(unpublished), insured Premier, the plumbing subcontractor for a residential project, was sued by the homeowner seeking damages for the repair of flood damage to the home after a water supply line installed by Premier failed.   Premier tendered its defense to its CGL insurers that insured Premier at the time it installed the water line—Guilford—and at the time of the flood—Alliance.   Alliance agreed to defend while Guilford denied a defense.  Alliance filed suit against Guilford.   The trial court entered summary judgment for Guilford.  On appeal, the intermediate court of appeals affirmed, holding that the “property damage” occurred at the time of the flood, not when the water supply line was installed.  The court distinguished Gaston County Dying Mach. Co. v. Northfield Ins. Co., 524 S.E.2d 558 (N.C. 2000) and Hutchinson v. Nationwide Mut. Fire Ins. Co., 594 S.E.2d 61 (N.C. Ct. App. 2004) on the basis that the property damage in both Gaston County and Hutchinson was continuous over an extended period of time.