Other Coverages: Umbrella/Excess, Inland Marine, Crime, and Equipment Breakdown
Umbrella and excess liability
An excess policy sits strictly above scheduled underlying limits and follows the underlying form. An umbrella does the same but also drops down to cover exposures the underlying policies exclude (for example, personal injury or certain watercraft), typically after the insured pays a self-insured retention. Umbrellas require the insured to maintain underlying limits and will not respond above a gap the insured failed to keep.
Inland marine
Rooted in the nationwide marine definition, these forms cover property in transit and property that is mobile or held by others: motor truck cargo, bailee coverage, contractors' equipment, accounts receivable, valuable papers, EDP equipment/data, fine arts, and scheduled floater items.
Crime and fidelity
Know the vocabulary: robbery (taking by threat or force from a person), burglary (unlawful entry with visible signs), theft (the broadest - any unlawful taking), and forgery. Standard crime coverages include employee theft, forgery or alteration, computer fraud, funds transfer fraud, safe burglary, and money and securities inside/outside. A fidelity bond indemnifies for employee dishonesty; a surety bond is a three-party guarantee of performance and anticipates no loss.
Equipment breakdown (boiler and machinery)
Covers accidents to covered equipment - mechanical breakdown, electrical short circuits and surges, and boiler explosion - plus expediting expense, spoilage, and business income. It excludes fire and other perils already insured on the property policy.
Traps
Umbrella drop-down vs. pure excess; retention vs. deductible; and confusing theft/burglary/robbery.
Worked example: A claim excluded by the underlying auto policy but covered by the umbrella's broader terms is paid above a $10,000 SIR.