Define: Commercial Umbrella Policy

A commercial umbrella policy is an insurance policy that provides additional liability coverage beyond the limits of a company’s primary insurance policies.

Any business that wants to protect itself from potentially catastrophic liability claims should consider a commercial umbrella policy.

A commercial umbrella policy covers liability claims that exceed the limits of a company’s primary insurance policies, such as general liability, auto liability, and employer’s liability.

The amount of coverage provided by a commercial umbrella policy varies depending on the policy and the needs of the business. Typically, coverage ranges from $1 million to $10 million or more.

The cost of a commercial umbrella policy depends on several factors, including the size and type of business, the amount of coverage needed, and the business’s claims history.

Yes, a commercial umbrella policy can be customized to meet a business’s specific needs. For example, a business can choose the amount of coverage it needs and the types of liability claims it wants to be covered.

No, a commercial umbrella policy is not required by law. However, some businesses may be required to carry certain types of liability insurance, such as workers’ compensation insurance.

Yes, a commercial umbrella policy can be canceled or non-renewed by the insurance company for various reasons, such as non-payment of premiums or a change in the business’s risk profile.

A business can purchase a commercial umbrella policy through an insurance agent or broker who specializes in commercial insurance. The agent or broker can help the business determine the amount of coverage needed and find the best policy for its needs.