The maximum sum of money that an insurance company will pay during the time interval that the product liability insurance coverage is in effect. The aggregate product liability limit remains unchanged no matter how many claims are made per period.
Aggregate limit is the dollar amount of coverage in force under a property damage policy or a liability policy. This maximum can be on an occurrence basis or for the life of the policy. If there is an expensive occurrence that reaches the liability limit early in the policy year, there is no protection available for the rest of the year. All losses occurring once the limit has been met are paid out of pocket.