Umbrella Insurance

What is Umbrella insurance?

Umbrella insurance provides additional liability coverage over standard policy limits and covers claims after the underlying policy limits have been reached, up to the umbrella policy limits.

What does Umbrella insurance cover?

Umbrella insurance covers the same terms and risks associated with the underlying policy. Additional liability coverage can help cover costs associated with claims, such as bodily injury, product liability, property damage, libel, slander, and copyright infringement.

Does your business need Umbrella insurance?

Both large and small businesses can benefit from purchasing Umbrella insurance. Some examples of why a business would need to buy Umbrella insurance include:

• Businesses that are required to meet higher policy limits than what is provided in a standard policy, due to specifications listed in a contract.
• Businesses that are more prone to risk, such as a business with high level of liability exposure and risk being sued by the public, employees or other businesses.
• Businesses with a high net worth that exceeds it policy limits.

How much coverage do you need?

An Umbrella policy provides additional coverage above and beyond the limits of your other business insurance policies. For instance, if you have a $1 million liability policy and you are sued for $2 million, your Umbrella policy would cover the additional $1 million. Umbrella policies are typically very affordable, making them a wise investment for any business owner.

How much coverage you need depends on a number of factors, including the size and scope of your business, the types of products or services you offer, and the amount of risk you are willing to assume. Typically you should purchase an Umbrella policy with a limit that is at least equal to the total value of your business assets to ensure that you have adequate protection in the event of a loss over your underlying policy limits.

Contact an insurance agent for more information

For more information about Umbrella insurance talk to an insurance agent. They can help you determine how much coverage you need. Contact us for an insurance agent in your area.