Reinsurance that covers the ceding company against a loss in excess of a particular retention for each particular occurrence.
Insurance Encyclopedia
Excess plan (Pensions)
A plan for retirement funding that takes into account social security.
Excess Point
Term used in excess of loss reinsurance for the point at which the reinsurance comes into effect.
Excess point/attachment point
In excess of loss reinsurance, the insurer fixes a point up to which he will retain losses for his own account (his retention). This is the excess point as losses above this level will be payable wholly or partly by the reinsurer up to a limit, the second excess point.
Excess Rain
Abnormally high rainfall intensities over short periods of time which cause direct physical damage to property (particularly underground property or mines) or crops and this may extent to secondary losses caused by saturation of soil.
Excess risk
Provision in an insurance policy designed to cut off the insurance company’s loss at a certain point. It may be an aggregate payable under the policy, maximum payable for any one disability, or the like. See stop loss .
Excess Value Policy
A Policy effected by an insured to protect himself where the value of a vessel stated on a Marine Hull Policy is less than its true value and the Insured may therefore incur liabilities, e.g., for salvage payments or general average contributions, in proportion to the under valuation.
Excess-surplus lines
See: surplus lines .
Excess, Compulsory Deductible
Portion of an otherwise insured loss borne by the insured. The amount or percentage is specified in the policy, usually in General Exclusions or as a special provision.
Excessive Heat
Excess heat caused by high temperature which may cause damage to certain types of property such as loss to crops at the pollination stage when excess heat will inhibit seed set.