Umbrella Liability Insurance
When you’re running a business or any kind of commercial operation, you can never have too much insurance! Especially when you have large numbers of customers, suppliers, and employees coming through on any given day, comprehensive umbrella liability insurance is crucial.
Ideally, you should have personal liability insurance as well as umbrella liability insurance for your business. This ensures all bases are covered should you run into potential legal expenses or medical bills.
What is Umbrella Liability Insurance?
Umbrella liability coverage is kind of like your backup plan or a way to top-up other policies. Most home insurance, car insurance, etc. have coverage limits. Umbrella insurance is there if you hit these limits and need extra protection. What it covers specifically depends on what policies you already have in place for your business. If this seems a little confusing, don’t be afraid to reach out with your questions – we’re here to help you navigate your entire insurance journey!
Examples of Umbrella Liability Insurance
When you’re running a business, there’s always a risk to those around you, even if it’s minimal. Things like property damage and bodily injury are always possible. It’s never fun, but it must be dealt with. Here are some examples of situations where you might use your umbrella liability insurance:
The Car Accident
It’s a common enough occurrence: an employee is driving a company vehicle, on company time, to make a delivery as part of their job. Suppose they get into an accident and are then deemed at fault. Depending on the severity of the incident, the damage and/or bodily injury to the other party may exceed your coverage limits. The other person will, in all likelihood, still pursue the issue. It’s at this time that your umbrella insurance would kick in and cover any expense that comes in over and above your standard limits. If you don’t have umbrella insurance, these expenses start coming out of your own pocket. Especially with car accidents, this can run many thousands of dollars!
The Injury
Car accidents are the only time you may need umbrella insurance. If you operate a physical store that welcomes customers, anything can happen. Suppose a customer walks in and becomes injured on your property. Perhaps something fell on them, or they tripped badly. If they are injured, they may sue your business for damages related to their injury. If it’s severe, they may be entitled to a large settlement especially if they must take considerable time off work. Like the costly car accident, you’ll be responsible for any expenses that exceed your standard policy. Especially if their injury happens to cause permanent damage, this can be devastating. Although the chances this happens to you may be incredibly slim, it’s never zero! Protect yourself from a catastrophic loss like this with an umbrella insurance policy.
Protect Your Business Today
If umbrella liability insurance sounds like something you want to add to your policy, get in touch right away. We’ll walk you through all the steps and help you find the perfect product for you and your unique business.
