Should Your Small Business Consider an Umbrella Policy?

Should Your Small Business Consider an Umbrella Policy?

Why your small business should consider a commercial umbrella policy. 

When it comes to getting commercial insurance, many business owners do not have enough insurance protection. This stems from a lack of finances and the misguided belief that small businesses have low and limited risks. You might have the right policies in place for your business, but if you don’t have a good umbrella insurance policy to cover you from extra liability claims, you could stand to lose your entire business.

What is an umbrella insurance policy?

An umbrella insurance policy is an extra liability insurance policy that is designed to protect you and your business from any lawsuits or major claims that could be made against you in the course of doing business. It helps to safeguard your assets, investments, and the future success of your business by providing you with additional coverage above your small business insurance policy, as well as any commercial auto insurance or other types of policies related to your business. An umbrella policy kicks in when all of your other applicable policies have been exhausted.

Five reasons why you should consider an umbrella policy for your small business:

  • It’s more cost-effective to get umbrella insurance than to raise the limits on your existing liability policies.
  • You can expand your coverage on several kinds of policies under one umbrella policy.
  • It gives you extra help for covering certain types of claims that might not be covered by your other liability policies.
  • If you deal with high-net-worth individuals, it is particularly useful in covering higher lawsuit settlements.
  • It gives you peace of mind that you have plenty of coverage across all of your various policies.

How are you protecting your business? For the protection your business needs, contact Kurt Rolf Insurance Agency for reliable commercial insurance, serving Minnesota, Wisconsin, Florida, South Dakota, and Arizona.