An umbrella policy provides protection above the limits available in your traditional policies – think of it as insurance on top of your insurance. It can protect you in the event of an excessive lawsuit or large claims where your primary insurance may fall short..
Commercial/Business Umbrella Policy
Businesses can be at great risk for costly claims and lawsuits and therefore should seriously consider an umbrella policy for additional protection. Just like personal umbrella insurance, a commercial umbrella policy helps cover the gap when a claim exceeds the policy limits of the standard policy. Without an umbrella policy, a business may face costly legal fees and damage expenses.
Here is an example of when an umbrella policy can save a business from costly financial exposure. Let’s say a customer slips on some water from a leaky pipe inside your establishment and suffers a severe back injury resulting in expensive medical bills and lost wages. A lawsuit may mean damages that exceed what is in your general liability policy, exposing your business to a costly payout to cover the entirety of the claim. An umbrella policy in this case may help cover the additional legal expenses and hefty claim cost against your business from this accident.
Here is another example. Let’s say your business transports goods and one of your truck drivers is negligent while driving during work hours causing a horrific multi-car accident on the highway. The physical damage to the other vehicles, bodily injuries of the third parties and legal fees may be substantial. Your umbrella policy may help cover the costs that exceed the amount in your liability policies. Catastrophic events such as this can put the entirety of your business at risk if you are not protected.
Wondering just how vulnerable you are and how much additional coverage you need? Fill out this quick and easy form to get you started and then talk with a Brooks, Todd & McNeil agent about getting the coverage that keeps your business protected.