Excess Layer Cover for Public Liability Insurance up to £10million
December 5th, 2009 | by Admin |If you require a high level of indemnity for public liability insurance then you will need what is called Excess Layer cover. This will provide you with public liability cover up to £10million. You will find with most liability insurers that the indemnity they provide is either £1million, £2million or £5million. In certain trades, the risks you are exposed to may exceed the £5million mark such as builders of large commercial properties. It is also common for smaller tradesman to require higher levels of liability while working for local authorities.
An excess layer policy provides cover above and beyond your normal liability policy. The normal liability policy (referred to as the primary layer) does not have to be with the same company as the excess layer policy as they are treated as completely separate policies. The way it works is that any claim up to £5million is handled by the primary layer insurer. If your claim is, for example, £6million then the primary layer insurer will pay out the first £5million and then the excess layer insurer will pay out the remaining £1million.
Excess layer policies are normally for £5million indemnity and run concurrently with a primary layer policy of £5million giving the insured total cover of £10million indemnity. What some people get confused with is thinking that they are two normal liability policies at £5million each but hopefully this article helps to explain that this is not the case. If you were to take out two £5million policies then you would still only have £5million cover but would be paying for two policies. In the event of a claim in this scenario it would be likely that the insurers would share the costs but only up to a total of £5million between them. In reality you should not be running dual insurance on the same risk whether it be liability or any other type of insurance.
For more information on getting excess layer cover (whether you have your primary layer with us or not) then please contact us.
Similar Posts:
- Public Liability Insurance – Policy Extras
- Don’t Forget Your Liability Insurance Cover
- Car Insurance Minimums By State
- 2 policies of Health insurance –how to lodge claim ?
- What is Land Insurance?
One Response to “Excess Layer Cover for Public Liability Insurance up to £10million”
By W Turnbull on May 28, 2010 | Reply
Please would you contact me asap with regard to an excess layer liability quote. I am collecting quotes in before the end of close today. Many thanks and I look forward to hearing from you.
Kind regards,
Will