Excess Liability Insurance for Myrtle Beach Businesses

What Is Excess Liability Insurance?

Excess liability insurance provides additional liability protection above your existing umbrella policy or primary liability limits. When your underlying coverage isn't enough to fully pay a claim, excess liability kicks in to cover the remaining amount—up to the excess policy's limit. For Myrtle Beach businesses facing substantial liability exposures, excess liability insurance creates another layer of financial protection against catastrophic claims.

Think of your liability coverage as a tower. Your primary policies—general liability, auto liability, employers liability—form the foundation. An umbrella policy sits above those, providing the first layer of additional protection. Excess liability insurance adds even more height to that tower, giving South Carolina businesses with significant assets or high-risk operations the coverage depth they need to survive a worst-case scenario.

Why Myrtle Beach Businesses Need Excess Liability Insurance

Lawsuit verdicts and settlements have increased dramatically over the past decade. What once seemed like adequate liability limits may no longer protect businesses from the financial impact of a catastrophic claim. Excess liability insurance addresses this reality for businesses throughout Myrtle Beach and the South Carolina coast.

• Jury awards continue climbing — Nuclear verdicts—jury awards exceeding $10 million—have become more common across all industries. A single catastrophic claim can exhaust primary and umbrella limits, leaving your business assets exposed without excess liability coverage.


• Contract requirements demand higher limits — Large commercial contracts, government projects, and work with major corporations often require liability limits of $5 million, $10 million, or more. Excess liability insurance helps Myrtle Beach businesses meet these requirements without restructuring their entire insurance program.


• Asset protection requires adequate coverage — Businesses with substantial real estate holdings, equipment, or cash reserves need liability limits that match their asset value. Excess liability ensures a single lawsuit can't wipe out decades of business growth.


• Multiple exposure points compound risk — Companies operating across several locations, managing large fleets, or employing many workers face liability exposures from multiple directions. Excess liability provides a safety net when claims stack up or a single incident affects multiple parties.


• Tourism creates unique liability exposures — The Grand Strand's visitor-driven economy means Myrtle Beach businesses interact with millions of people annually, increasing the statistical likelihood of serious liability claims.

What Does Excess Liability Insurance Cover?

Excess liability policies typically follow the form of underlying coverage, meaning they respond to the same types of claims covered by your umbrella or primary liability policies. When underlying limits are exhausted, excess liability pays the remaining covered damages up to its own limit.

Bodily Injury Claims

When someone suffers serious injuries on your premises or due to your business operations, medical costs and legal damages can quickly exceed primary policy limits. Excess liability coverage responds after your general liability and umbrella limits are exhausted, paying additional damages for covered bodily injury claims. For Myrtle Beach hospitality businesses, retail stores, and recreational operations, this coverage is critical.

Property Damage Claims

Catastrophic property damage—whether from a construction accident, vehicle collision, or operational mishap—can result in claims far exceeding standard policy limits. Excess liability extends your coverage for property damage claims that exhaust underlying limits, protecting your business from bearing the remaining cost out of pocket.

Personal and Advertising Injury

Defamation, libel, slander, and certain advertising injuries can generate substantial legal damages. When these claims exceed your primary and umbrella coverage, excess liability provides additional protection. South Carolina businesses engaged in marketing, publishing, or public-facing communications benefit from this extended coverage.

Auto Liability Claims

Serious vehicle accidents involving commercial trucks, delivery vehicles, or company cars can produce claims in the millions. Excess liability sits above your commercial auto liability and umbrella limits, providing additional coverage when a catastrophic accident exhausts underlying auto coverage. Businesses operating fleets throughout Conway, Georgetown, and the Grand Strand need this protection.

Employers Liability Claims

While workers' compensation covers most employee injuries, employers liability claims—where an employee sues outside the workers' comp system—can result in significant damages. Excess liability extends coverage for employers liability claims that pierce through primary and umbrella limits.

Excess Liability vs. Umbrella Insurance: Understanding the Difference

Many business owners use "umbrella" and "excess liability" interchangeably, but these are distinct coverages with important differences. Understanding how they work together helps Myrtle Beach businesses structure adequate protection.

Umbrella insurance is the first layer of additional coverage. An umbrella policy sits directly above your primary liability policies—general liability, auto liability, employers liability. Umbrella coverage typically provides broader protection than underlying policies, sometimes covering claims that primary policies exclude. It may also drop down to cover claims when no underlying coverage applies.

Excess liability follows the form of underlying coverage. Unlike umbrella policies, excess liability doesn't broaden coverage or drop down. It strictly follows the terms, conditions, and exclusions of the underlying policy (usually your umbrella). Excess liability provides only additional limits—nothing more, nothing less.

The coverage tower works in sequence. When a covered claim occurs, your primary policy pays first. If that limit is exhausted, your umbrella responds. If the umbrella limit is also exhausted, excess liability pays the remaining covered damages. For South Carolina businesses needing very high limits, multiple excess layers can be stacked above the umbrella.

Most small to mid-sized Myrtle Beach businesses need only primary coverage and an umbrella policy. Excess liability becomes necessary when umbrella limits aren't sufficient—typically for larger operations, high-risk industries, or businesses with substantial contract requirements.

How Much Does Excess Liability Insurance Cost in South Carolina?

Excess liability insurance is generally affordable relative to the coverage it provides. Because excess policies sit above substantial underlying coverage, the probability of claims reaching the excess layer is relatively low—keeping premiums reasonable for most South Carolina businesses.

Factors affecting your excess liability premium include:

• Underlying coverage limits — The higher your primary and umbrella limits, the less likely claims will reach your excess layer, resulting in lower excess liability premiums.


• Industry classification — High-risk industries like construction, transportation, and manufacturing pay more for excess coverage than professional service firms or retail operations.


• Claims history — Businesses with clean loss histories typically receive better excess liability rates than those with prior large claims.


• Excess limits selected — Higher limits cost more, but the per-million cost of excess liability often decreases as limits increase.


• Attachment point — The point where excess coverage begins (after underlying limits exhaust) affects pricing. Higher attachment points mean lower premiums.

Because excess liability is a specialty coverage, rates and terms vary significantly between insurance carriers. Businesses in Surfside Beach, Murrells Inlet, and throughout the Grand Strand benefit from working with an independent agency that can compare options across multiple insurers.

Which Businesses Need Excess Liability Coverage?

Not every business needs excess liability insurance, but certain operations and situations make this coverage essential:

Construction contractors working on large commercial projects often face contract requirements for $5 million, $10 million, or higher liability limits. Excess liability allows contractors to meet these requirements while maintaining cost-effective primary and umbrella coverage.

Transportation and trucking companies face catastrophic exposure from serious accidents. A single multi-vehicle collision can generate claims exceeding typical umbrella limits. Excess liability protects trucking operations throughout North Myrtle Beach and South Carolina from devastating losses.

Property management companies overseeing large portfolios face cumulative liability exposure across all managed properties. Excess coverage ensures adequate protection when multiple claims or a catastrophic incident threatens to exhaust underlying limits.

Manufacturers and distributors face product liability exposure that can result in massive claims if a defective product causes widespread injuries. Excess liability provides critical protection for these operations.

Hospitality businesses serving large numbers of guests—hotels, resorts, event venues, and entertainment facilities—need excess liability when standard umbrella limits don't adequately protect against the volume of potential claims inherent in high-traffic operations.

Why Work with Moore & Associates for Excess Liability Insurance?

Moore & Associates has served Myrtle Beach and the South Carolina coast since 1979. As an independent insurance agency, we work with multiple carriers to structure liability programs that actually fit your business—not just the closest off-the-shelf option. Our local agents understand the exposures facing Grand Strand businesses and can help you determine whether excess liability makes sense for your operation.

Structuring adequate liability coverage requires understanding how primary policies, umbrella coverage, and excess liability work together. Gaps between layers, inconsistent terms, or inadequate underlying limits can leave businesses exposed even with substantial excess coverage in place. Our agents review your entire liability program to ensure seamless protection from the first dollar to the last.

Get an Excess Liability Insurance Quote in Myrtle Beach, South Carolina

Our excess liability insurance agents serve Myrtle Beach, South Carolina and surrounding areas including North Myrtle Beach, Atlantic Beach, Conway, Surfside Beach, Murrells Inlet, Litchfield, Pawleys Island, and Georgetown. Contact Moore & Associates today for a free quote.