Secondary coverage refers to insurance that covers a risk after another insurance covering the same risk has been exhausted or has reached its limit. Proof that the other insurance has been used is needed for the secondary coverage to pay the excess.
A person with two insurance policies of the same nature does not get paid twice for a risk. Instead, the primary coverage pays first. Then, if there are still payables, that is when one uses the secondary coverage. There are instances when the secondary coverage will not pay for deductibles from the primary coverage. A person also must prove to the insurer of the secondary coverage that he or she has used the primary coverage first. This may be in the form of a receipt from the latter.
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