Commercial Umbrella Insurance
The purpose of introducing Umbrella and/or Excess Liability Insurance Policies is to provide additional liability coverage to your general liability limits for specific risks once your current policy’s coverage limits have been exhausted. In reviewing your current Orange County Commercial General Liability policy, you will find that it probably has limits of $1,000,000 per occurrence and $2,000,000 aggregate. In the business world in which we operate these days, it is almost routine that more and more lawsuits are being filed in excess of $1,000,000. Imagine if it was your business that was held liable for a claim over one million dollars. Would your company be able to pay the extra amount awarded and continue to stay in business?
If your business is one that distributes or manufactures a product, then having an Umbrella/Excess Liability Insurance Policy is an absolute must as well as one of the wisest business decisions your could make. Anyone that is involved in the products business will be the first to tell you that multi-million judgments against companies that either produce or distribute products are becoming commonplace. It should also be noted that the exclusions that are in your current General Liability policy, in most cases, also apply to your Umbrella policy.
Another area of coverage that your company should also be concerned with is your auto insurance policy and whether you have an umbrella policy covering your autos. Have you considered what a serious auto claim would do to your company? If you have not looked over your current auto limits recently, I suggest you set some time aside very soon and review them before an accident happens and you are facing a claim with inadequate liability limits on your policy. Also, if your business has its employees use their own cars in conducting business on behalf of your company, and if they were the cause of an accident, your business could be at serious financial trouble should a judgment be awarded against your business. Having an Umbrella liability policy excess over your Commercial Auto Liability Insurance could mean the difference between staying in business or having to close your doors.
To learn more about how an Umbrella/Excess Liability Policy can be a benefit to your company, please call the experienced professional brokers at PJO Insurance Brokerage in California.