COMMERCIAL EXCESS LIABILITY INSURANCE
Commercial EXCESS LIABILITY INSURANCE Insurance
(Umbrella)
Commercial excess liability policies provide an insured with an extra layer of liability of protection over the primarily liability insurance. Most umbrella policies require an insured to initially purchase liability insurance coverage to be able to purchase an addition umbrella insurance policy. Commercial Umbrella policies are designed primarily for protection against catastrophic losses and it broadens coverage for things that your underlying policies may not cover. For example, if your auto liability covers accidents in a specific geographic area and umbrella policy could expand that area.
Excess Liability is a financial security boost to your already existing liability policies. For example, if your underlying auto or general liability policy has a $1,000,000 dollars coverage, an excess liability policy could provide an additional $1,000,000 to a claim that exceeds that $1,000,000 limit.
If you are a high net worth individual or you own a hazardous or highly successful operations you should consider exploring excess liability insurance options to protect your assets in the event of a catastrophic loss. If you are contractor or manufacturer working for a large corporation it is likely you are signing a contract agreeing to carry a certain excess liability limit, it is important to make sure you review the “insurance and indemnity” portions of the contract to make sure you have the correct insurance in place or you could be responsible for making up the gap.
Do I Need Commercial Umbrella Insurance?
It always depends as not all businesses may benefit from umbrella insurance. It’s always wise to speak with one of our highly experienced insurance agents about the exact policy needed for the business in question. Here are some things to consider:
Is the business open to the public?
With many visitor from the public increases the risk of expensive general liability claims. Having umbrella insurance could help mitigate some of these costs.
Are employees driving their own vehicles for work purposes?
If so, and an employee finds themselves in a serious accident, the business could be at risk from litigation for damages regular auto coverage may not fully cover.
Is there a risk of employees becoming seriously injured on the job?
Again, similar to an auto accident, serious work accidents could trigger additional legal action where employer’s liability coverage won’t cover all associated costs.
Have a few wealthy clients?
Potential losses could be much higher in these cases and umbrella insurance can help cover those expenses.