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2. ABC Company purchased a commercial umbrella policy with a $10 million limit. The insurer required ABC Company to carry a $3 million per-occurrence limit
2. ABC Company purchased a commercial umbrella policy with a $10 million limit. The insurer required ABC Company to carry a $3 million per-occurrence limit on its product liability policy with a $200,000 self-insured retention and a $1 million per- occurrence limit on its business auto policy with a $100,000 self-insured retention. ABC must pay $5 million product liability loss during the coverage period. How much of this amount will be paid by the umbrella policy?
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