Adding another insurance policy to your business might not be something you want to consider, but purchasing umbrella coverage might be one of the smartest business decisions you ever make. Standard business liability coverage has limitations and will not cover everything if there is a large claim filed against your existing policy.
What is commercial umbrella insurance?
Commercial umbrella insurance is a policy or policy addition that will cover claims that exceed the amounts of coverage you have for business liability. It protects you and your business from high dollar claims and lawsuits. Many small businesses can be financially ruined by one large claim.
How does umbrella coverage work?
You will be assessed a monthly premium fee to add umbrella insurance. It will be added to your existing business policy, or you will have to pay separately if you are using a company other than your standard business insurer. Once the amount of a claim exceeds your standard coverage amount, the umbrella coverage will kick in and pay the remainder up to that policy limit. A claims adjuster will ensure that you are paying a legitimate and valid claim.
Can I have umbrella coverage with a company different from my business policy?
You do not have to carry a commercial umbrella insurance policy through the same company as your regular business insurance. There are numerous companies that offer this type of coverage, but you need to make sure they will cover any overage left by the limits of another company. This gives you added flexibility in getting the best rates possible.
Protecting the Financial Future of Your Business
Injuries, faulty products, and other problems can result in hefty claims being filed against your company insurance policy. If the claim far exceeds the limit of your policy, you will have to find a way to come up with the remaining funds. This can mean losing business assets, or even a complete closure, or filing bankruptcy. The small investment in commercial umbrella insurance can save the financial viability and integrity of your business.
Contact umbrella coverage specialists like Fearnow Insurance and find an affordable commercial insurance company in Florida today!