When it rains, it pours. When storms come in, it’s wise to protect yourself with an umbrella. While standard business liability coverage will cover your company in many situations, commercial umbrella insurance ensures that your business is protected from severe situations.
An umbrella liability insurance policy in New York is designed to safeguard your company from unlikely and costly events. It works to protect you when accidents happen and when your existing liability policies cannot cover all of the expenses. Without an umbrella policy, you’re left out in the cold, paying the remaining expenses of a claim. In essence, a policy picks up where your business liability coverage stops, providing extra protection against bodily injury and property damage.
A commercial umbrella provides an extra layer of business liability insurance in two ways:
In a litigious society, it is easy for claims and expenses to reach sky-high limits for businesses. If your company has a $500,000 commercial auto liability policy and an accident exceeds $1 million in damages, you would be left to face the remaining $500,000 fees alone, rendering your business obsolete. With an umbrella policy, insurance would fill in the remaining $500,000 gap in the auto insurance limit.
Every business is created and operated differently. A custom business requires a custom policy that safeguards from unique risks and costly damages. Consider the financial details of your business, previous losses, and current business liability limits before securing an umbrella policy so that your insurer can suit you to the right coverage.