Aggregate Applies Per

Overview

Aggregate Applies Per is a four-option radio selector in the General Liability section of the ACORD 25 form. It answers a pivotal question: the General Aggregate limit is $2 million, but per what? The selected option determines whether that $2M is shared across every project the insured works on for the year, or replenished separately for each project, location, or other defined scope.

This single checkbox can multiply a contractor's effective coverage by ten or more, and is therefore frequently required by contract on any project where the owner wants dedicated aggregate protection.

The four options are POLICY, PROJECT, LOCATION, and OTHER (with a free-text field describing the custom scope).

How It Works

The General Aggregate caps all General Liability payouts from the insured within a defined scope. The scope is controlled by the selected "applies per" option:

Example — Policy basis: A contractor with $2M Policy aggregate works on 20 projects. A single large loss on Project #3 consumes $1.8M. The remaining $200K must cover all 20 projects for the year. Subsequent losses on any other project share the remnant.

Example — Per Project basis: Same contractor with $2M Per Project aggregate works on 20 projects. The Project #3 loss consumes $1.8M of that project's aggregate. Projects #1, 2, 4-20 each retain their full $2M aggregate.

On a project with hundreds of subcontractors, the Per Project endorsement is effectively a prerequisite — otherwise a single early claim can exhaust the aggregate before the job is 10% complete.

Comparison / Industry Requirements

Typical requirements by project type:

On the COI / Where it appears on ACORD 25

The field is located in the General Liability section of the ACORD 25, labeled GEN'L AGGREGATE LIMIT APPLIES PER. It is rendered as four mutually-exclusive checkboxes: POLICY, PROJECT, LOCATION, OTHER (with a blank line for custom scope description).

When OTHER is selected, the accompanying text should describe the scope precisely. "Other: per contract as scheduled" is acceptable; an empty OTHER with no description is a red flag.

Why It Matters for Compliance

• Contract match: Requirements like "CGL with per-project aggregate endorsement CG 25 03" map directly to this field. Inori's compliance engine reads the aggregate_applies_per enum (policy/project/location/other) and matches it to the contract requirement.
• Endorsement cross-check: If PROJECT is checked, the Description of Operations or endorsement schedule should reference CG 25 03 (or equivalent). A PROJECT checkbox without a supporting endorsement form is a potential Phantom Coverage signal.
• Shared-aggregate risk: On multi-vendor sites, Inori can aggregate vendor aggregates to assess cumulative exposure — a critical view when multiple vendors share the same project-year on a Policy-basis aggregate structure.

Related Concepts

This field is the mechanism that turns a generic General Aggregate Limit into a Per-Project Aggregate or a Policy Aggregate. It appears exclusively on General Liability sections and is one of several Aggregate Limit structures an insured may select.