Excess Insurance
/ˈɛksɛs ɪnˈʃʊərəns/
Definitions
- (n.) Insurance coverage that provides protection above the limits of an underlying policy, activating only after that policy's limits are exhausted.
The company purchased excess insurance to cover liabilities exceeding their primary policy limits.
See also
Commentary
Excess insurance is often structured to respond after primary policies are exhausted, distinct from umbrella insurance which may provide broader coverage including gaps in primary policies.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.