A Case Study Involving Premises Liability & PUP

The following is a real-life scenario involving premises liability and how a Personal Umbrella Policy came into play.

Incident: The insured hired a friend to replace and install a new dock on the lake behind his house. During the construction, the friend requested some trees be removed in order to get the old dock out of the water. The insured used a backhoe to knock the trees. While knocking down one of the trees, a limb hit the friend on the head and neck.

Outcome: The underlying insurance coverage limits were paid out, but there was still a balance of $800,000 for the claim. The RLI Personal Umbrella paid out the remaining $800,000, avoiding any out of pocket expenses for the insured.

A personal umbrella policy will increase your customers' overall liability coverage with an extra layer of protection beyond the basic coverage provided by their homeowners and insurance policies. And RLI has 25 years of experience underwriting standalone personal umbrella policies in all 50 states.

For more information on the RLI PUP program available to all Insurors members, please contact Stephen Holmes at 615.515.2609 or sholmes@insurors.org.