What does Primary and Noncontributory mean? Read on to discover the definition & meaning of the term Primary and Noncontributory - to help you better understand the language used in insurance policies.
Primary and Noncontributory
This term is commonly used in contract insurance requirements to stipulate the order in which multiple policies triggered by the same loss are to respond. For example, a contractor may be required to provide liability insurance that is primary and noncontributory. This means that the contractor's policy must pay before other applicable policies (primary) and without seeking contribution from other policies that also claim to be primary (noncontributory).
We hope the you have a better understanding of the meaning of Primary and Noncontributory.