Exam 26: Commercial Liability Insurance

Ted is risk manager of XYZ Company. He is concerned his company might be sued by current or former employees alleging wrongful termination, failure to promote, racial or gender discrimination, or sexual harassment. What type of liability insurance can Ted purchase to cover these types of claims?

A provision included in a claims-made commercial general liability policy provides coverage for claims filed after the policy has expired. This provision is called a(n)

The general liability policy covers bodily injury or property damage caused by "an accident, including continuous repeated exposure to substantially the same general harmful conditions." This cause is loss is called a(n)

Which of the following statements is (are) true concerning the self-insured retention (SIR) under a commercial umbrella liability policy? I.The SIR applies to claims covered by the umbrella policy but not by any underlying insurance. II.The SIR only applies to those claims for which the underlying policy has paid first, and the umbrella policy is paying on an excess basis.

Which of the following statements about the typical commercial umbrella policy is (are) true? I.The policy is designed to cover only those loss exposures specifically excluded by the underlying insurance contracts. II.The policy is excess over the required underlying coverages.

The auto dealers coverage form pays for damages that the insured is legally obligated to pay because of damage to a customer's auto left in the insured's car while it is being serviced or repaired. This coverage is called