In order to protect your assets, every business should be covered by a Commercial Umbrella Insurance policy. Most small businesses could not cope financially if they were sued as a result of an accident or injury, and while a Businessowners Policy (BOP), or General Liability Policy, will provide some protection, it will not cover your business should you find yourself facing a law suit that exceeds your liability limits. Example, your General Liability Insurance limits might be $1,000,000, but what if you were sued for more?
It doesn't matter if your business is large or small; you need a policy that will cover you should your business find itself on the losing side of a legal case. If your business is sued for damages, a commercial umbrella policy would help cover the cost of damages, and it would mean that your business would not be at risk if the worst should happen.
What is commercial umbrella insurance?
A commercial umbrella insurance policy is also known as an excess liability insurance. This type of insurance will act to supplement your other insurance policies. For instance, if you were to be found liable for a million dollar settlement, and your insurance policies only covered half of that, then the umbrella insurance policy would cover the rest. A commercial umbrella insurance policy, or excess liability insurance, will protect your business in the event of an accident or injury. By having commercial umbrella insurance in place, your business assets are protected.
A risk your business can’t afford
An umbrella insurance policy is affordable; it is a policy that your business needs in this day and age. Every day people are bombarded with advertisements urging consumers to take action if they have been injured in some way, and many people have adopted the “where there is blame, there is a claim” mentality, which means your business needs to be covered for this eventuality.
As far as cost, it really depends on the type of business. In some cases a $1,000,000 Umbrella Policy can be as low as $450 per year. If you have any other questions about this coverage, or other types of Business Insurance, please feel free to contact us.
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