Umbrella Coverage

Commercial umbrella insurance can offer an extra layer of liability protection for businesses. When the liability limit on an underlying insurance policy, such as commercial general liability insurance, is reached, commercial umbrella insurance may offer additional coverage. It may help pay liability claims exceeding other policies’ limits, including general liability and commercial auto insurance. This coverage can help ensure businesses have a safety net when faced with unexpected expenses.

What Is an Umbrella Insurance Policy for a Business?

An umbrella insurance policy for a business can offer additional liability protection. When the liability limits of underlying policies (such as commercial general liability or commercial auto insurance) are exhausted, the umbrella policy can kick in.

For example, suppose one of your employees causes a car crash while making deliveries in a business vehicle, resulting in multiple injuries. The medical expenses surpass the liability limits of your commercial auto insurance. Without an umbrella policy, your business would be responsible for covering the excess amount. However, having commercial umbrella insurance allows it to step in and help cover additional costs beyond your primary policy limits.

How Much Does Umbrella Insurance Cost for a Business?

The following factors can influence the cost of commercial umbrella insurance:

• Risk level

• Coverage amount

• Industry

• Existing coverage
• Policy limits
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Can an LLC Have an Umbrella Policy?

An LLC can purchase an umbrella insurance policy. By extending coverage, an umbrella policy can help financially safeguard an LLC against unexpected expenses and potential lawsuits.

How Much Umbrella Insurance Should I Have?

We can make recommendations based on your specific circumstances. Contact Freedom Insurance today to discuss your business insurance policy or get a free quote.