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What is an annual aggregate limit


The maximum amount of money your insurer will pay for all the claims you file during the policy period, typically one year, is known as your aggregate limit. Aggregate limits are distinct from per-occurrence (or per-claim) limits. These refer to the maximum amount an insurer will pay for a single claim or incident.

What does annual aggregate mean?

Related Definitions\n\n Annual aggregate means the total amount of financial responsibility available to cover all obligations that might occur in one year.

What does it mean if an insurance policy has an aggregate limit of $1 million?

Aggregate — (1) A limit in an insurance policy stipulating the most it will pay for all covered losses sustained during a specified period of time, usually a year. Aggregate limits are commonly included in liability policies.

What does aggregate mean on insurance policy?

Annual Aggregate Deductible — (1) A deductible-type program under which the insured agrees to reimburse its insurer for its own losses during the policy year up to the agreed upon annual aggregate amount.




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