WHAT IS EXCESS INSURANCE? OFTEN EXCESS IS REFERRED TO IN THE SAME SENTENCE AS SURPLUS...

Excess liability insurance and umbrella liability insurance are both used to provide limits of insurance in addition to those in an insured's primary and underlying liability policies. An excess liability policy is one that provides limits of insurance in excess of an underlying policy or policies or in excess of a stated dollar amount (often called the 'retention'). The excess policy may be a self-contained policy subject only to its own terms, but it can also 'follow form' (duplicate the underlying terms). Surplus Line refers to insurance written with non-admitted (unauthorized) markets.