A per-project aggregate is an endorsement to a Commercial General Liability (CGL) policy that assigns each construction project its own separate aggregate limit — equal to the policy's general aggregate — instead of having all projects share one pool. This prevents a single large claim from wiping out coverage for every other job you're running. Who this is for: General contractors, subcontractors, design-build firms, and specialty trades working multiple simultaneous projects.
TL;DR — Key Takeaways
- A standard CGL policy has one general aggregate shared across all projects; one bad claim can exhaust it for every other job.
- A per-project aggregate endorsement (ISO form CG 25 03) gives each project its own aggregate, typically equal to the general aggregate limit.
- Contract owners, developers, and government agencies routinely require per-project aggregate in their subcontractor agreements.
- The endorsement typically adds 5–15% to your CGL premium, depending on the number of projects and carrier.
- It is especially critical when you carry a $1M/$2M CGL (the standard construction limit) and run three or more active projects simultaneously.
What Is Per-Project Aggregate in a CGL Policy?
A Commercial General Liability policy has two core aggregate limits:
- General Aggregate — the maximum the policy pays for all covered claims (other than products/completed operations) during the policy period.
- Products/Completed Operations Aggregate — a separate pool specifically for bodily injury and property damage claims arising after a project is finished.
On a standard, unendorsed CGL (ISO CG 00 01), every active project draws from the same general aggregate bucket. If you have a $2 million general aggregate and a slip-and-fall on Project A results in a $1.8 million settlement, your remaining aggregate for Projects B, C, and D is only $200,000 — even if those projects are completely unrelated.
The per-project aggregate endorsement (ISO CG 25 03) fixes this by creating a separate aggregate limit for each distinct project. The limit available for each project equals the policy's full general aggregate. The endorsement does not increase the per-occurrence limit; it restructures how the aggregate is applied across jobs.
Important distinction: The per-project aggregate does NOT multiply your total policy coverage indefinitely. The carrier still has underwriting controls. On some endorsement forms, aggregate erosion on one project does not affect another, but each project's cap is still the stated general aggregate amount — not more.
Per-Project Aggregate vs. Standard CGL Aggregate: Comparison
| Feature | Standard CGL (Unendorsed) | Per-Project Aggregate (CG 25 03) |
|---|---|---|
| General aggregate | Shared across ALL projects | Separate per project |
| Per-occurrence limit | Per occurrence, any project | Per occurrence, any project |
| Products/completed ops aggregate | Typically separate (policy-wide) | Typically remains policy-wide |
| Aggregate "exhaustion" risk | High — one claim impacts all jobs | Reduced — one claim affects only that project |
| Contract requirement compliance | Often insufficient for large owners | Satisfies most per-project requirements |
| Typical premium impact | Base rate | +5–15% endorsement cost |
| ISO endorsement form | CG 00 01 (base form) | CG 25 03 |
Who Requires Per-Project Aggregate and Why?
Project owners, developers, and government agencies require per-project aggregate because they want assurance that your aggregate limit is not already depleted by another job before your work on their site even begins. Standard certificate of insurance language will not reveal how much of your aggregate has been consumed — so requiring per-project aggregate eliminates that exposure entirely.
Common parties who mandate it in contract language:
- Public works / municipal contracts — city, county, and state infrastructure projects
- Large commercial developers — office, retail, and mixed-use construction
- General contractors managing subcontractor risk on multi-trade projects
- Healthcare and institutional owners — hospitals, universities, data centers
- Design-build clients requiring combined E&O/GL coverage structures
How to Add Per-Project Aggregate to Your Policy in 5 Steps
- Review your current CGL declarations page. Identify your current general aggregate limit (commonly $1M per occurrence / $2M aggregate for contractors) and whether CG 25 03 or an equivalent endorsement is already attached.
- Request the endorsement from your broker. Ask specifically for the ISO CG 25 03 (Per Project Aggregate Limit of Insurance) or the carrier's equivalent manuscript form. Confirm it applies to both ongoing operations and, if needed, completed operations.
- Confirm the project definition. The endorsement should clearly define what constitutes a "project" — typically a single construction location under one contract. Ambiguity in the definition can create disputes at claim time.
- Update your certificates of insurance (COIs). Once endorsed, your broker should note "Per Project Aggregate Applies" or reference CG 25 03 on any COI issued for a contract requiring it. A generic COI without this notation may not satisfy a contract requirement.
- Review at renewal. If your project count or average contract size has grown, discuss whether your per-occurrence and aggregate limits are still adequate — or whether an umbrella/excess layer is warranted.
Real-World Example: Why Per-Project Aggregate Matters
Illustrative scenario — not a guarantee of coverage or outcome:
Riverside Framing LLC is a wood-frame framing subcontractor in Texas carrying a standard $1M/$2M CGL policy with no per-project aggregate endorsement. In the same policy year they are working on:
- Project A: A 60-unit apartment complex ($1.2M subcontract)
- Project B: A medical office building ($800K subcontract)
- Project C: A retail strip center ($400K subcontract)
In Month 4, a framing collapse on Project A injures two workers from another trade (third-party BI claim). The claim settles for $1.7 million, leaving only $300,000 of general aggregate for the rest of the policy year across Projects B and C.
If Riverside had added the per-project aggregate endorsement (estimated cost: $800–$1,400 for this policy size and project count), each project would carry its own $2M aggregate. The Project A claim exhausts that project's aggregate — but Projects B and C each retain their full $2M of coverage.
The endorsement cost is typically a fraction of one month's contract revenue and can be the difference between a recoverable loss and a catastrophic uninsured exposure.
FAQ
What is per-project aggregate in insurance?
Per-project aggregate is a CGL endorsement (typically ISO CG 25 03) that creates a separate general aggregate limit for each construction project. Instead of all projects sharing one aggregate pool, each project gets its own limit equal to the policy's general aggregate. This ensures a large claim on one project cannot deplete coverage for your other active jobs.
Is per-project aggregate the same as per-occurrence?
No. The per-occurrence limit caps how much the insurer pays for any single incident. The aggregate limits how much the insurer pays across all incidents during the policy period. Per-project aggregate restructures the aggregate — not the per-occurrence — so each project has its own maximum pool.
How much does per-project aggregate cost?
For most contractors carrying a $1M/$2M CGL, the endorsement adds roughly 5–15% to the CGL premium. For a contractor paying $4,000/year in CGL premium, that's approximately $200–$600 per year. The exact cost depends on the number of simultaneous projects, project size, trade class, and carrier. Some carriers include it at no extra charge on higher-tier contractor programs.
Does per-project aggregate apply to completed operations?
Generally, no — unless the endorsement or policy specifically extends it. ISO CG 25 03 applies to ongoing operations aggregate. The products/completed operations aggregate typically remains a single policy-wide limit. Some carriers offer separate completed-operations per-project endorsements; confirm with your broker if your contracts require it.
My contract requires per-project aggregate — what do I need to show?
You need a certificate of insurance (COI) noting that the per-project aggregate endorsement applies, along with an actual copy of the endorsement (CG 25 03 or equivalent) if the contract owner requests it. A standard ACORD 25 certificate without any notation about per-project aggregate may not satisfy the requirement. Confirm with your broker that the COI language matches your contract's exact wording.
Can an umbrella policy satisfy a per-project aggregate requirement?
Typically, no. A commercial umbrella follows the form of the underlying CGL. If the underlying CGL lacks per-project aggregate, the umbrella usually does not provide it either. The endorsement must be added to the primary CGL. However, some excess layers have per-project provisions — review each layer's terms carefully.
Does per-project aggregate protect the project owner too?
It protects the contractor's aggregate from being eroded by other jobs. For the project owner's benefit, what matters is that the contractor's aggregate is not already depleted when a claim arises on their project. Per-project aggregate gives that assurance. Additional insured endorsements are what extend the contractor's coverage to the owner directly.
Is per-project aggregate required by law?
No state requires per-project aggregate by statute [verify state], but it is contractually required on a wide range of commercial and public-sector construction projects. Contractors who cannot demonstrate per-project aggregate may be disqualified from bidding or face contract termination.
Why Morrow for Per-Project Aggregate Coverage
1. Access to multiple contractor-specialty carriers. As an independent agency, Morrow places CGL with carriers that have robust CG 25 03 endorsement options — including programs where per-project aggregate is included at no additional cost on higher policy tiers. We are not captive to one market.
2. Fast COI turnaround. When a GC calls requesting a per-project aggregate COI before a job starts Monday morning, we can typically turn around a compliant certificate [Morrow to confirm internal SLA] the same business day. We understand job-start deadlines.
3. Contract language review. We read the actual insurance section of your subcontract, not just the limits. If a contract requires per-project aggregate with a specific ISO form number or manuscript equivalent, we confirm the endorsement satisfies it before you sign.
4. Real claims advocacy. If a claim threatens to erode one project's aggregate and spill into others, we advocate for correct allocation between projects under your endorsement — working with the carrier to protect your remaining coverage on unaffected jobs.
5. Contractor-focused expertise. Commercial construction is a core practice for Morrow — from framing subs and MEP trades to GCs and design-builders. We understand project structure, contract requirements, and the interplay between your CGL, umbrella, and professional liability.
Get a Quote
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Related Pages
- Commercial General Liability Insurance Overview
- Contractor Insurance: Coverage Guide
- General Aggregate vs. Per-Occurrence Limits
- Additional Insured Endorsement Explained
- Certificate of Insurance (COI): What Contractors Need to Know
- Commercial Umbrella Insurance for Contractors
Author: Sarah Kellman, CPCU, CIC — Commercial Lines Coverage Specialist with 14 years placing contractor and construction insurance across the US. Published: June 2026 Last updated: June 2026
Sources: - ISO CG 00 01 (Commercial General Liability Coverage Form) and ISO CG 25 03 (Per Project Aggregate Limit of Insurance Endorsement) — Insurance Services Office - Insurance Information Institute (III) — Commercial Liability Insurance - National Association of Insurance Commissioners (NAIC) — Model Commercial Lines regulations - American Institute of Architects (AIA) — Standard subcontract insurance requirements - Associated General Contractors of America (AGC) — Contractor risk management guidelines