Your general liability coverage is an integral part of protecting your finances. However, general liability coverage isn’t always enough. Claims and lawsuits can oftentimes surpass the monetary limits of your liability protection, leaving you responsible for additional costs. When your liability coverage maxes out, commercial umbrella/excess liabilityinsurance kicks in.
Why Do I Need More Liability Protection?
In today’s litigious world, safeguarding your assets is more important than ever. Should a claim result in a lawsuit with hefty legal fees or a multi-million dollar settlement, having the proper umbrella protection may be the only thing standing between you and bankruptcy. Remember that umbrella insurance can be written on various types of liability coverage, not just your commercial general liability (CGL) policy. Umbrella insurance can also be used to supplement your commercial auto and employers liability policies.
Umbrella insurance not only extends the coverage you already have, it also expands coverage to areas that a basic liability policy may not reach. While basic liability policies may limit the territory of incidents, umbrella insurance generally provides worldwide coverage. This means that if your business is based out of Nashville, but one of your employees is responsible for damages or injured in London, your commercial umbrella policy will likely cover the incident.
The amount of commercial umbrella insurance you need depends on your company’s size and your industry. Keep in mind that an umbrella policy can oftentimes be a more cost-effective way of extending your liability coverage than increasing the coverage maximums of your other policies.
To learn more about umbrella insurance, contact All Things Comp by calling (731) 300-2210, or fill out the form on this page for a free quote.