Texas Department of Insurance - Commercial general liability insurance (CGL, excess and umbrella, claims-made versus occurrence, retroactive date, tail coverage, exclusions)

What this document is

Texas Department of Insurance - Commercial general liability insurance (CGL, excess and umbrella, claims-made versus occurrence, retroactive date, tail coverage, exclusions) is a reference published by Texas Department of Insurance (www.tdi.texas.gov). It is one of the Texas documents that insurance license exam questions are written from, including texas property & casualty, texas claims adjuster practice questions. This page summarizes it and points to the official version, which is the text to rely on.

Sections cited in practice questions

Each practice answer shows the exact passage it comes from. These are sections of this document that questions cite, with a short excerpt from the source text.

• TDI, What is commercial general liability insurance? (Claims-made versus occurrence policies, occurrence)

  “Occurrence policies cover claims arising from injury or damage occurring while the policy is in force, regardless of when the claim is first made.”

• TDI, What is commercial general liability insurance? (Prior acts ("nose") coverage)

  “Prior acts ("nose") coverage covers claims that arise from injury or damage occurring before the policy period, but reported to the insurer after the policy period begins.”

• TDI, What is commercial general liability insurance? (Examples of exclusions, damage to your work)

  “Damage to Your Work - Generally, CGL policies exclude coverage for property damage to your work (see Example No. 1 below). There is an exception to the exclusion for damaged work if a subcontractor working for you caused the damage (see Example No. 2 below).”

• TDI, What is commercial general liability insurance? (Contractual liability exclusion, second exception)

  “Liability assumed in a contract or agreement defined in the policy as an insured contract, if the bodily injury or property damage occurs after the contract or agreement is executed.”

• TDI, What is commercial general liability insurance? (What is a premium audit?)

  “If the actual payroll, sales or units sold is less than what was estimated, you may be due a return premium.”

• TDI, What is commercial general liability insurance? (Pollution exclusions in the CGL policy)

  “Total pollution exclusions eliminate all coverage, including coverage for premises/operations and products/completed operations.”

• TDI, What is commercial general liability insurance? (Umbrella liability insurance)

  “The umbrella policy also provides liability coverage for exposures not covered under the primary CGL insurance policies and not excluded by the umbrella liability insurance policy.”

• Texas Department of Insurance, Commercial general liability insurance guide, "What is a premium audit?"

  “The premium that is paid at the inception of the policy is a deposit (estimated) premium. Auditable policies usually use estimated payroll, sales, or units sold as the premium base to calculate the deposit (estimated) premium.”

Practice this material

Questions about this source

More Texas sources

• Texas Government Code ch. 2001 -- Administrative Procedure Act, complete (Secs. 2001.001-2001.903)State statute
• Texas Government Code Chapter 2253, Public Work Performance and Payment Bonds, complete: Subchapters A-D, Secs. 2253.001-2253.079State statute
• Tex. Ins. Code ch. 541: Unfair methods of competition and unfair or deceptive acts or practicesState statute
• Tex. Ins. Code ch. 1101: Life insurance required and prohibited policy provisionsState statute
• Tex. Ins. Code ch. 4001: Agent licensing in generalState statute
• Tex. Ins. Code ch. 4005: Conduct, disciplinary actions, and sanctionsState statute
• Tex. Ins. Code ch. 1201: Accident and health insurance policy provisionsState statute
• Texas Insurance Code Chapter 151, Consolidated Insurance Programs, complete: Subchapters A-D, Secs. 151.001-151.151State statute