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Umbrella insurance is a kind of liability insurance. It typically applies when liability exceeds the limits of other policies, although it may also serve as primary insurance for losses not covered by other policies.
When an insured person is liable, the insured's primary insurance policies pay up to their limits, and any additional amount is paid by the umbrella policy (up to the limit of the umbrella policy).
Umbrella insurance is available mainly in the United States.
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