We do note that while it is not well known, there are policies available that offer $1 million coverage
with sublimits of $200,000 or $250,000.
One respondent reported, for example, that quotes for the same $1 million coverage
on his/her farm varied from $250 to $1,500.
They were also asked to carry $1 million coverage
for property damage and $2 million aggregate.
Unless the organization is sizable, the $1 million coverage
is enough, according to Davis.
Webster recommends at least $1 million coverage
, but as the company grows and there's more opportunity for suits, coverage should grow too.
Stand-alone EPL polices with their $1 million coverage
limit and the corresponding premium ranging from $3,000 to $10,000 was just too much, O'Shaughnessy said.
In this extraordinary New York case a hospital's primary insurance carrier refused to settle a meritorious malpractice claim for approximately one half of its $1 million coverage
. A jury returned a verdict for a plaintiff for $9.6 million (for which the hospital was found to be 25% responsible) resulting in a $2.1 million judgment against the hospital.