You work hard for your business and have a significant amount of your wealth tied up there. Even though you take every possible precaution, accidents can happen. Let’s say a few customers are hurt on your property and seek a lawsuit. What happens next? The answer to this question is very different, depending on whether you have commercial umbrella insurance.
In our scenario, you have general liability Insurance as well as a commercial umbrella policy, so your assets and business are safe. How well does your coverage measure up in real life? Talk to your StateChoice agent about your options for commercial umbrella insurance. Meanwhile, here is some basic coverage information.
What is Commercial Umbrella Insurance?
Commercial umbrella insurance is supplemental to existing liability coverage and protects you against catastrophic loss. If someone decides to target you in a lawsuit, your business and personal assets are on the line for large claims. Your commercial policy typically has a limit, but lawsuits can cost tens of thousands of dollars.
To avoid extraordinary losses, consider bolstering your existing coverage with an umbrella policy. Note that a regular commercial policy is still needed. An umbrella policy doesn’t take the place of your existing policy.
Commercial umbrella policies pay for medical bills, legal fees and damages that exceed your regular policy limits if:
- You hold an appropriate underlying policy.
- Your claim exceeds the underlying policy coverage.
Additionally, you might not be able to get a commercial umbrella policy unless your regular policy has a limit.
Significant assets are at risk when your business is the target of a lawsuit. Don’t wait until damages threaten to ruin your business. Contact your StateChoice agent today to make an appointment for a quote and to answer any questions you may have.