What does Vertical Exhaustion Rule mean? Read on to discover the definition & meaning of the term Vertical Exhaustion Rule - to help you better understand the language used in insurance policies.
Vertical Exhaustion Rule
Legal theory that allows an insured with multiple primary and excess policies covering a common risk to seek coverage from an excess insurer as long as the insurance policies immediately beneath that policy, as identified in the excess policy's declaration page, have been exhausted, regardless of whether other primary insurance may apply.
We hope the you have a better understanding of the meaning of Vertical Exhaustion Rule.