Commercial Umbrella Insurance
Commercial umbrella insurance is a liability insurance policy that provides additional coverage over and above the limits of an underlying insurance policy, such as a general liability or auto liability policy. It acts as a safety net for businesses, protecting them from costly lawsuits and financial damages in case of a catastrophic liability claim. Commercial umbrella insurance covers a wide range of liability exposures, including but not limited to, personal injury, advertising injury, and property damage.
Here are some examples of situations where commercial umbrella insurance can be useful:
- Excess liability coverage: If a business is facing a liability claim that exceeds the limit of their underlying insurance policy, the commercial umbrella policy can provide additional coverage.
- Protecting assets: If a business is facing a significant liability claim, the commercial umbrella policy can protect the company's assets, such as real estate, investments, and savings.
- Coverage for new business ventures: A commercial umbrella policy can provide liability coverage for new business ventures, such as expansion into new markets or the introduction of new products or services.
- Coverage for new liability exposures: As a business evolves and changes, it may face new liability exposures, such as expanded operations or increased use of technology. A commercial umbrella policy can provide coverage for these new exposures.
- Meeting contractual obligations: In some cases, a business may be required by contract to maintain a certain level of liability coverage. A commercial umbrella policy can help a business meet these obligations.