This type of coverage is called “Umbrella Liability” because it covers your business like an umbrella. It provides your business with additional insurance protection beyond the limits of your basic policies. For example, if your general liability policy provides $1 million, but a claim settlement provides for $1.5 million, your umbrella policy would provide the additional $500,000.
This is similar to the type of protection you may already have with your personal insurance. This type of protection does the same thing except for your business.
You can add umbrella liability coverage to your general liability, auto, hired and non-owned auto liability, and employer's liability policies. It is important to note however, that umbrella coverage cannot be used to supplement your professional liability insurance.
In our ever increasingly litigious society, more and more companies are purchasing excess liability/umbrella coverage. It was only in the 1980’s that multimillion dollar court awards were the exception. Now they are very common. A single event, without the proper insurance protection can have devastating results on your business. Contact us to find out how we can integrate all of your insurance coverages, including umbrella liability.