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UMBRELLA LIABILITY

Excess liability for individuals or corporations to protect them for liability losses which may exceed their primary liability limits. Also called Blanket Catastrophe.

Excess Liability, the policy also provides primary coverage, subject to some limitations, for all other liability for which no provisions may be made in his basic coverage.

UMPIRE

See Arbitration

UNATTENDED AUTOMOBILE

An automobile which is unoccupied, unattended and unlocked. With respect to ‘Theft Away from Premises" coverage under the Homeowners form, an automobile which is broken into while all doors and windows are closed and locked, and which shows visible signs of forcible entry, is not considered "unattended." Coverage is also afforded under the same conditions for theft from a fully enclosed and locked luggage compartment. There is no restriction in Homeowners Form HO-5 (Comprehensive Form) relative to unscheduled personal property. Where applicable, the above restrictions pertain also to "unattended" watercraft (boats).

UNDERINSURED MOTORIST PROTECTION

See Uninsured Motorist Protection.

UNDERWRITER

1.) An insurance company. 2.) An employee of an insurance company whose duties consist of passing on the selection of risks, and determining the amounts and terms of insurance acceptable to the insurance company.

UNDERWRITERS SALVAGE CORPORATION

An organization supported by many insurance companies which reclaims and resells merchandise salvaged from the covered losses thereby reducing the participating companies’ net losses.

UNDERWRITERS’ LABORATORIES

A non-profit organization under the auspices of the National Board of Fire Underwriters which tests equipment (appliances, etc.) and materials against established safety standards. Those which meet or exceed these standards are entitled to use the "U.L. Approved" label.

UNDERWRITING PROFIT OR LOSS

The profit or loss resulting from the underwriting operations, based on earned premiums less losses, adjustment expenses and other incurred underwriting expenses, as contrasted to (see) "Investment Income."

UNEARNED PREMIUM

See Premium.

UNEARNED PREMIUM RESERVE

Insurance companies are required to set aside (see) "Unearned Premiums" in a reserve fund. Last month’s premium on a policy has been "earned," today’s is being "earned" and next month’s is yet to be "earned." Since it would be highly impractical to attempt to determine the amount required for this reserve by calculating the unearned premium for each individual policy, a factor (fixed by law) is used. For example, it could be agreed that one half of the total of all premiums on all policies in force at any given time be used to represent the Unearned Premium Reserve required. Unearned Premium Reserves cannot be used to pay losses or any other operating expenses.

UNINSURED MOTORIST PROTECTION

The wrongful appropriation of another’s property; the felonious removal of another’s property from premises without leaving visible signs of forcible entry or exit; any act of stealing. (See Burglar,’, Robber,’.)

UNINSURABLE PROPERTY

See Excepted Property.

UNINSURED MOTORIST PROTECTION

Protects the insured in the event of injury by a motorist who does not carry automobile Bodily Injury Liability Insurance. No protection is afforded under this coverage for Property Damage sustained by the insured. The bodily injury limits available under this endorsement are the same as those required by the state financial responsibility laws. This limitation has been lifted in most states, and higher limits are now available for an additional premium. The insurance operates only when the Uninsured Motorist is found legally at fault, and the latter need not be proven insolvent in order for the insured to collect. This type of insurance is also known as "Family Protection." "UNDERinsured Motorist" coverage. This insurance is excess, and provides the additional amount (up to the policy limit) needed to satisfy a judgement or settlement given the insured against a third party whose liability limits are not sufficient to satisfy the award.

UNOCCUPANCY

This refers to a condition which exists when contents remain in the building, but no tenants. There is, however, the implied intention for tenancy to continue. (See Vacancy.)

UNSATISFIED JUDGMENT FUND

A state fund to reimburse persons injured in an automobile accident who are unable to collect damages awarded them by the court because the party who was responsible forthe injury is both uninsured and insolvent. A portion of the automobile registration fee is the usual method of financing the fund, which will pay unsatisfied judgements only up to the pre-established limits.

USE AND OCCUPANCY

See "Business Interruption."