ACORD 160 (Umbrella/Excess Application)
The ACORD supplement form used to capture umbrella and excess liability insurance application details.
What It Is
The ACORD 160 is the Umbrella and Excess Liability section that supplements the ACORD 125. It captures the requested umbrella or excess limits, details about all underlying policies (CGL, auto, employers liability), self-insured retentions, and any coverage extensions or exclusions specific to the umbrella layer.
The form requires complete information about each underlying policy including carrier, policy number, limits, and whether the underlying meets the umbrella carrier's required minimum limits. It also captures information about the insured's international operations, professional liability exposure, and any unique risk characteristics.
Proper completion of the ACORD 160 is essential because umbrella carriers must evaluate the entire tower of coverage to price their layer appropriately.
Why It Matters for Brokers
Umbrella and excess liability placements are among the most complex transactions a broker handles. The ACORD 160 must accurately document every underlying policy, and the underlying limits must meet the umbrella carrier's scheduled underlying insurance requirements. Gaps between underlying limits and umbrella attachment points create uninsured exposure that the insured may not discover until a large claim arises. Brokers who carefully complete the ACORD 160 protect their clients from these gaps.
Real-World Example
A general contractor requests a $10M umbrella over their CGL ($1M/$2M), auto ($1M CSL), and employers liability ($1M/$1M/$1M). The broker completes the ACORD 160, listing each underlying policy with carrier name, policy number, and current limits. The umbrella carrier's guidelines require $1M underlying auto limits, which the contractor meets. The ACORD 160 also notes that the contractor does no work outside the US and has no professional liability exposure.
Common Mistakes
- 1Omitting an underlying policy from the ACORD 160, creating a gap that the umbrella carrier may not cover.
- 2Not verifying that underlying limits meet the umbrella carrier's minimum scheduled requirements before submitting.
- 3Failing to disclose professional liability or pollution exposures that the umbrella carrier specifically asks about on the ACORD 160.
How brokerageaudit.com Handles This
Submission Intake cross-references the ACORD 160 underlying schedule against all policies on file for the account. Policy Checker verifies that underlying limits meet or exceed the umbrella carrier's scheduled requirements, flagging any gaps.