CSR Excess & Umbrella

Question 1

Excess Liability vs. Umbrella Liability

Answer 1

while they are used interchangeably, they are not the same.
only one or the other can be placed with the insured.
can only be placed with the insured once they have already secured one or more insurance policies. these two cannot stand alone.

Question 2

Commercial Excess Liability and the Three most common underlying policies

Answer 2

Coverage:
Will cover whatever is and is not covered by the scheduled underlying policy or policies. With this being the case, commercial excess liability does not provide additional coverage for the insured. when reviewing quotes, requires forms and endorsements to match those found on its underlying/primary policies.

Limits:
commercial excess liability policy essentially increases the limits of the scheduled underlying policy or policies. After a claim drains a limit for an underlying policy, the excess liability policy will cover the remaining amount.

Two types of excess liability limits:
each occurrence limit
general aggregate limit

The three most common:

1. Employer’s Liability (via Workers’ Compensation
2. Commercial General Liability
3. Commercial Auto

Question 3

Commercial Umbrella Liability

Answer 3

Available once the insured has secured certain PRIMARY policies. Unlike the Commercial Excess Liability, the primary policies ARE NOT scheduled when placing an umbrella liability policy. Instead, the policy broadly references the ‘primary’ policies in the commercial umbrella liability policy covers.

Coverage:
more broadly written that excess liability as it refers to the ‘primary’ policies rather than specifically scheduling any underlying policies. this broader form of writing comes with a broader form of coverage.
Now if a primary policy excludes coverage that the umbrella policy doesn’t exclude, the insured is protected under the umbrella policy after the self-insured retention is paid.

Limits:
CUL essentially increases the limits of the primary policy or policies. After a claim drains a limit for a primary policy, the umbrella liability policy will cover the remaining amount up to the umbrella liability’s policy limit.

Two types of limits:
each occurance
general aggregate limit

Three most common primary policies an umbrella liability policy applies to are:

1. Employer’s Liability (via Workers’ Compensation)
2. Commercial General Liability
3. Commercial Auto

Question 4

Common Exclusions

Answer 4

expected or intended injury
aircraft
watercraft
property in case, custody, or control
employment related practices
injury to fellow employee
ERISA/Employee Benefits Liability
Punitive Damages
Pollution
Uninsured Motorists and Underinsured Motorists
Abestos

Question 5

CSR Support Cycle

Answer 5

1. obtain required submission info
2. complete acord forms
3. send the submission
4. receive and review quotes
5. create and present proposal
6. bind coverage with the carrier
7. check the policy
8. support the insured

Question 6

ACORD 131

Answer 6

Used to place commercial excess or umbrella liability insurance.

Question 7

Submission Forms:

Answer 7

Worker's Comp
Commercial General Liability Quote
Commercial Auto Quote
Excess or Umbrella Liability Loss Runs
Completed ACORD Forms

Question 8

Bind Order

Answer 8

must include
ACORD 125
ACORD 131
Copy of a deposit check
Subjectivities