Who needs XCU coverage?
Explosion, Collapse, and Underground Hazard Explosion, Collapse, and Underground Hazard (XCU) coverage is required for contractors who grade, trench, or dig underground, generally to a depth of greater than 12 inches.
What does XCU exclusion mean?
explosion, collapse and underground
Well it is called the xcu exclusion and the letters x, c, and u stand for explosion, collapse and underground. This exclusion is added by a special endorsement to the policy and it modifies the exclusions already found in the policy to remove coverage for losses related to these areas.
What is limitation endorsement?
Contractor’s Limitation Endorsement — an endorsement usually attached to umbrella policies of contractors and construction-related entities imposing limits or exclusions on the umbrella’s coverage with respect to one or more of the following exposures: explosion, collapse, and underground (XCU) hazard; care, custody.
Is contractual liability included in general liability?
Contractual liability insurance covers liability you assume under a lease, rental agreement, or other common business contract. Contractual liability coverage is included in the standard general liability policy.
Is XCU excluded?
However, it has been many years since the ISO CGL policy form contained this exclusion—XCU coverage is now simply part of the standard coverage afforded by this policy, and has been for over a decade.
What is XCU insurance coverage?
A term used in commercial general liability insurance to designate that three hazards exist for the classification under review. Those three hazards are explosion, collapse and underground.
What is contractual liability coverage?
Contractual liability insurance protects against liabilities that policyholders assume when entering into a contract. A common phrase found in contracts states that one party agrees to hold another party harmless for any injuries, accidents, or losses that occur while the contact is in effect.
What is contractual coverage?
What is contractual insurance?
An Insurance Contract may be defined as an agreement between two parties whereby one party is called an insurer and the other is called insured. The Insurer which is the Insurance Company undertakes, in exchange of fixed premium to pay the Insured fixed amount of money on the happening of a certain event.
What is broad form property damage?
A broad form property damage endorsement refers to, among other things, liability coverage for damage from work performed by subcontractors on behalf of owners and general contractors. Therefore, under current CGL coverage, a broad form property damage endorsement automatically applies unless otherwise excluded.
What are XCU hazards?
A term used in commercial general liability insurance to designate that three hazards exist for the classification under review. Those three hazards are explosion, collapse and underground. The current CGL includes those coverages automatically in the basic form, but they may be deleted by endorsement.
What is contractual indemnity coverage?
Contractual liability insurance protects your business against liabilities that you assume when entering into a contract. This includes an indemnity agreement in which you assume financial responsibility on behalf of someone else for claims of third party bodily injury and property damage.