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Contractors Limitation Endorsement

Contractor's 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, or control (CCC); contractual liability; damage to work (broad form property damage (PD)); professional liability; joint ventures; and wrap-ups. Some endorsements operate to make the umbrella coverage following form over the coverage provided for these exposures in the underlying policy. However, other versions of the endorsement impose more restrictive conditions or even absolute exclusions. It is desirable to confirm that following form coverage is provided over explosion, collapse, underground, broad form PD, and contractual liability coverage, as provided within the primary layer.

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