• Conditional insurance is a term, conditional insurance refers to a policy that depends on the absence of other insurance. For example, the 1973 Commercial General Liability (CGL) policy stated that it provided “basic insurance except where stated that it applies in excess of, or is contingent upon the absence of, other insurance… When both that insurance and other insurance apply to a loss. on the same basis, whether primary, surplus or contingent, the company is not liable [in excess of a proportional share].” (Emphasis added.) In 1986, the phrase “in the absence of other insurance” was deleted. However, no changes in coverage were expected. In modern parlance, conditional insurance refers to a policy that has another escape type insurance provision that says it does not apply if there is another policy providing coverage.