Commercial Umbrella Insurance, sometimes called Excess Liability Insurance, supplements the limits of your other underlying insurance policies such as general liability, automobile liability and employer’s liability. In simple terms, an umbrella policy will pay out when the limits of your other insurance policies have been reached. As an example, if you have $1 million in general liability coverage and a claim is settled for $1.5 million, your commercial umbrella policy would pick up the $500,000 not covered by the general liability policy. Otherwise, you would be liable to pay the uncovered expense out of your own pocket. This could be a devastating loss for many small businesses.
As a business owner you can help to protect more of your assets by investing in an umbrella policy, which tends to be a lot more cost effective than paying for higher limits on each of the individual underlying policies. A commercial umbrella policy can increase the coverage limits over several polices while helping to keep premiums down.
Small business owners come into contact with clients, suppliers, partners and many other business associates every day. This can increase the risk of lawsuits over those of the average person. Commercial Umbrella Insurance offers an extra safety net in the case of a costly judgement.
Some common exclusions to Commercial Umbrella Coverage are:
– Liquor Liability
– Workers Compensation
– Pollution Liability
– Aircraft & Watercraft
– Product Recall
– Cyber Liability or Electronic Data
If you are uncertain about whether or not your business needs a commercial Umbrella Policy, give Berkely Brokerage Corp. a call to discuss this. We will help you to determine your insurance needs by reviewing the type of business you own, the assets of the business and the insurance coverages that are already in place. We will help you to protect the well-being of your company.