ISO PERSONAL UMBRELLA LIABILITY POLICY ENDORSEMENTS

(July 2022)

Insurance Services Office's (ISO) Personal Umbrella Liability Policy Program is designed to handle personal lines exposures with assets that exceed the capacity available under personal auto and liability policies. As is the case with other lines of business, modifications to the Personal Umbrella Liability Policy are required in order to accommodate different circumstances. These optional forms are designed primarily for handling coverage concerns represented by underlying coverages. Some of the endorsements require additional premium.

Where applicable, you’ll find a reference to additional articles that discuss a particular endorsement in greater detail.

ISO Personal Umbrella Liability Policy Coverage Analysis.

ISO Personal Umbrella Liability Policy Endorsements Checklist

Notes:

The umbrella policy uses a “DL” prefix since it is part of ISO’s Dwelling Liability Program.

These forms now have 02 15 edition dates and were revised to fit slight editorial changes in the program’s base policy form.

ANALYSIS OF OPTIONAL ENDORSEMENTS

The following are brief descriptions of the coverage for ISO’s personal umbrella program endorsements that generally have countrywide application:

DL 98 03–Personal Umbrella Liability Policy-Excess Home Business Liability Coverage

This form extends the umbrella to provide coverage for an insured’s on-premises, business-related liability, but only when that specific liability has been added to the applicable, underlying coverage. This seven-page endorsement amends a number of sections and adds a provision to examine operation books and records. It also includes a requirement that the insured keeps the underlying protection for the permitted business exposure in force.

DL 98 04–Personal Umbrella Liability Policy-Excess Home Day Care Liability Coverage

This form extends the umbrella to provide coverage for an insured’s home day care exposure, but only when that specific exposure is endorsed onto the insured’s applicable, underlying coverage.

DL 98 05–Personal Umbrella Liability Policy-Excess Business Pursuits Coverage

This form extends the umbrella to provide coverage for an insured’s business-related liability, but only when business pursuits liability has been added to the applicable, underlying coverage. The business pursuit must be described on the form (and naturally it needs to match the description used in the underlying coverage).

Example: Hanna turns in a claim for injuries suffered by a client who visited her in-home seamstress business. The adjuster contacts her with questions as her underlying policy only contains a description of a catering business.

Coverage does not apply to on-premises operations, losses involving professional liability, or to exposures involving vehicles or animals bred for transporting persons or property. The form also includes a requirement that the insured keeps the underlying protection in force.

DL 98 06–Personal Umbrella Liability Policy-Excess Incidental Farming Personal Liability Coverage

This endorsement supplements an insured’s underlying coverage against loss involving modest farming exposure. The insured farming operation must be described on the form (and should match the description used in the underlying coverage) and it has its own definitions of “retained limit” and “underlying insurance.” No coverage applies to non-farming business activity, nor does it apply to liability related to vehicles or crafts. The form also includes a requirement that the insured keeps the underlying protection in force.

DL 98 07–Personal Umbrella Liability Policy-Assisted Living Care Liability Coverage

This endorsement modifies the umbrella policy to provide liability coverage for a person who is a relative of an insured and is a resident of an assisted living facility. Normally such persons who live outside of the primary residence do not qualify as insureds.

The person or persons residing in the assisted living facility as well as the facility must be listed on the form. It modifies the definition of insured to include a relative person living in the described facility. Such coverage has to exist in the underlying coverage since this form only provides excess protection. Coverage does not apply to vehicle or craft liability, nor does it apply to either BI or PD suffered by employees of the facility.

DL 98 08–Personal Umbrella Liability Policy Trust Endorsement

This form modifies the umbrella policy to provide liability coverage for a trust arrangement or a trustee. The form includes wording that defines a trustee or trust as an insured party. The name of the trust and the trustee must appear on the form. The coverage only applies to incidents involving the liabilities of the trust that is also protected by the applicable underlying coverage. The form now refers to “Home-sharing activities” as part of its definition of business. (03 18 change)

DL 98 11– Personal Umbrella Liability Policy Auto Liability Exclusion Endorsement

This form should be used with insureds that need an umbrella, but don’t have any auto liability exposure.

DL 98 12–Personal Umbrella Liability Policy Auto Liability Following Form Endorsement

This form excludes coverage for automobile liability. However, it then adds the coverage back, but making it applicable ONLY to the extent of the coverage that exists under the applicable, underlying coverage.

DL 98 13–Personal Umbrella Liability Policy Exclusion-Designated Auto Endorsement

This form excludes coverage for automobile liability on the same basis as the DL 98 11–Personal Umbrella Liability Policy Auto Liability Exclusion Endorsement. However, the exclusion only applies to the vehicle(s) specifically listed on the endorsement. While this form may be viable if excess coverage is to be denied to an exposure that is covered on a primary policy, if a vehicle is already excluded by the primary policy, it may make more sense to use the following form endorsement.

DL 98 14–Personal Umbrella Liability Policy Exclusion-Designated Recreational Motor Vehicle Endorsement

This form excludes coverage for BI or PD due to a recreational motor vehicle scheduled on the endorsement.

DL 98 15–Personal Umbrella Liability Policy Exclusion-Designated Watercraft Endorsement

This form excludes coverage for BI and PD due to watercraft. However, the exclusion only applies to those watercraft specifically listed on the endorsement.

DL 98 16–Personal Umbrella Liability Policy Exclusion-All Hazards In Connection With Designated Premises Endorsement

This form excludes coverage for “property damage” and “bodily injury” related to the location described in the endorsement.

DL 98 17–Personal Umbrella Liability Policy Exclusion-Fungi, Wet or Dry Rot, or Bacteria Endorsement

This form amends the umbrella policy. First it adds a definition of "fungi." The definition does NOT extend to fungi that are on or in an edible product. Then the form bars coverage for BI, PD or PI due to breathing-in, eating or being exposed to fungi, rot or bacteria. The result is that, there is limited coverage for, essentially, food poisoning.

DL 98 23–Personal Umbrella Liability Policy Named Driver Exclusion Endorsement

This form allows excess coverage to be engineered to address an unacceptable driver exposure (when allowable by the applicable jurisdiction). The excluded party must appear on the form and the exclusion applies to direct as well as to vicarious liability related to the named party. It also adds the defined term “named excluded driver.”

The schedule section clarified a reference regarding missing information that may appear elsewhere than the form’s schedule. (02 15 Change)

DL 98 24–Personal Umbrella Liability Policy Exclusion-Motorcycle & Moped Endorsement

This form bars coverage for either direct or vicarious loss involving an insured’s motorcycle or moped liability.

DL 98 25–Personal Umbrella Liability Policy Exclusion-Watercraft Endorsement

This form bars coverage for either direct or vicarious loss involving an insured’s watercraft liability.

DL 98 26–Personal Umbrella Liability Policy Exclusion-Recreational Motor Vehicle Endorsement

This endorsement excludes coverage for either direct or vicarious loss involving an insured’s RV liability.

DL 98 30–Personal Umbrella Liability Policy Exclusion-Motor Home Endorsement

This form bars coverage for either direct or vicarious loss involving an insured’s motor home liability.

DL 99 01–Personal Umbrella Liability Policy Personal Injury Coverage (Aggregate Limit of Liability) (02 15 Change, New Form)

Attaching this form modifies a PUP by turning the policy’s stated limit of liability into an annual (policy term) aggregate limit. The form modifies the PUP’s Section I, Definitions, Section II, Coverages Section IV Maintenance of Underlying Insurance Section VI General Provisions and Section VII, Changes. Another significant modification is that the form makes an exception to the maintenance of underlying coverage requirement when any underlying source is subject to an aggregate limit.

DL 99 02–Personal Umbrella Liability Policy Excess Permitted Incidental Occupancies Liability Coverage Endorsement

This form expands coverage under the Personal Umbrella Policy. Its use extends liability coverage for the incidental occupancy that is described in the endorsement’s schedule. The amount of excess coverage must be entered on the schedule. It also requires that the listed, permitted, activity be covered by appropriate, underlying coverage. The form uses its own definitions of “retained limit,” “underlying insurance,” “employee,” “permitted incidental occupancy,” and “residence employee.”

DL 99 03–Personal Umbrella Liability Policy Canine Liability Exclusion Endorsement (02 15 Change, New Form)

This new form is named dog exclusion. Space is provided to enter a name and description of a dog. When attached, it eliminates BI and PD caused by the described dog. The exclusion applies to that specific dog whether it is owned or just in the care, custody or control of an insured.

Note: The form may be problematic to apply to non-owned animal situations. What would be the circumstances that this endorsement would be executed for non-owned dogs? Further, how would enforcement be affected by a dog’s name change or an ambiguous description? A photo or micro chipping requirement may have made sense.

DL 99 08–Personal Umbrella Liability Policy Underlying Personal Injury Aggregate Limit of Liability (02 15 Change)

Attaching this form modifies a PUP. It provides an exception to the maintenance of underlying coverage requirement when any underlying source is subject to an aggregate limit.

DL 99 10–Transition Endorsement

Attaching this form modifies a ’06 edition umbrella policy into the newer 02 15 edition. (02 15 Change)

DL 99 12–Personal Umbrella Liability Policy Public or Livery Conveyance Exclusion Endorsement

This form both adds a definition of “Transportation network platform” and an exclusion for losses involving an otherwise covered vehicle while used under a “Transportation network platform.” (10 15 Change)

DL 99 53–Personal Umbrella Home-Sharing Host Activities Amendatory Endorsement

When attached, this form amends the DL 98 01, Personal Umbrella Liability Policy to align with the exposures related to Home-Sharing Host activities similar to AirBnB. Besides adding definitions for “Home-sharing host activities,” “Home-sharing network platform,” and “Home-sharing occupant,” the form expands the definition of “business” to include home-sharing activities which also expands the base policy’s applicability of its business exclusion. (03 18 Change, New Form)

DL 99 54–Personal Umbrella Liability Exclusion – Unmanned Aircraft (03 18 New Form)

The definition of aircraft is revised to include unmanned aircraft even when used in a hobby or as a model. This change results in eliminating most coverage for drones and other types of unmanned aircraft.

DL N 002–Personal Umbrella Liability Policy Canine Liability Exclusion Endorsement Acknowledgement

This statement is used on PUP policies that are issued with Canine Exclusion Endorsement DL 99 03. It allows the named insured to specifically acknowledge the use of dog exclusion and includes space for a signature to solidify applicability in case of a loss.