Business owners take a lot of risks in general, which is why having the right sort of insurance coverage is so important.
Stand-alone umbrella insurance or commercial umbrella insurance might be a crucial policy to hold, even if you already have liability insurance or similar policies.
This is especially important if you have a storefront or place where your customers come to interact with you and your team, if your employees operate company vehicles or tools, or if you or your team go to your client’s homes or places of business to work.
What is Umbrella Insurance?
As the name implies, an umbrella insurance policy is extra coverage or liability insurance that extends above and beyond the limits of your business insurance, allowing for another layer of security and protection from liability if you’re at risk of being sued for property damage or accidental injuries.
If you’re unfamiliar with umbrella insurance, one of the first things you may be asking yourself is what is it and why you might need it.
These types of policies are meant are meant to cover you and your assets in the case of an unforeseen event that you may be held responsible for, like a tragic accident that results in property damage or bodily injuries to another individual.
Umbrella insurance policies tend to have a much higher limit.
Stand alone umbrella insurance will help to cover you in the case of a lawsuit or other similar unexpected expense.
Why Do You Need Stand Alone Umbrella Insurance?
The role of umbrella insurance is to protect you and your assets from an unforeseen lawsuit in the event of an accident or event that no one could have predicted.
Business owners should carry umbrella insurance if they have an environment that customers visit, such as a storefront or similar space.
But you might ask yourself, what does commercial umbrella insurance cover specifically?
It covers accidents such as bodily injury and property damage, lawsuits that are the result of accidents, and even potentially suits for libel or slander.
How Do You Choose the Right Type of Umbrella Insurance?
Determining the right type of umbrella insurance and coverage limit that you need to carry depends on the type of business you are operating.
For instance, depending on whether your customers come in to a physical location (e.g. a storefront), or you or your employees go to the customers (in the case of contractors or other professionals who visit their client’s homes or places of business), or if your employees operate work vehicles, you may need different types of coverage limits.
What Type(s) of Umbrella Insurance Do You Need?
What does umbrella insurance cover in general?
The best commercial umbrella insurance will protect you from accidents that happen to your customers or employees that are unforeseen and excessive.
Note that you need to have liability and other business insurance policies in addition to your umbrella insurance – it’s not a replacement.
There are umbrella insurance calculators online that you can use to determine the types and amount of umbrella insurance coverage that you need, and of course you can always speak to an ASCO insurance agent to discuss your specific situation and determine the best umbrella insurance for your unique needs.
What Other Types of Insurance Are Related to Stand Alone Umbrella Insurance?
Liability and other commercial insurance policies are sometimes bundled with umbrella insurance, since many business owners need multiple policies to adequately protect their business and their assets.
Ask ASCO Insurance Services what kind of policies you need to properly cover your business and related assets.
Talk to an ASCO Insurance specialist to help you choose the best stand alone umbrella insurance policy for you.