Specific excess insurance is best described as:

• A. A form of coverage that caps losses per single occurrence.
• B. A form of reinsurance that pools losses with another insurer.
• C. A standard workers' compensation policy.
• D. A policy covering only medical benefits.

Answer: (A)

Specific excess insurance provides an extra layer of protection on a defined risk, kicking in after the underlying policy’s limit for a given occurrence is exhausted and paying losses up to its own limit for that same occurrence. In other words, it sits above a named risk and caps the amount paid for a single event beyond what the primary policy covers. It’s not a form of reinsurance, not a standard workers’ compensation policy, and not limited to medical benefits; it specifically adds additional per-occurrence protection for a defined exposure.