The number of insurance related lawsuits filed against companies and the size of the settlements are incredible. The chances are that your current liability protection from your general liability insurance policy or business owners package policy, commercial auto insurance and employer’s liability policy may not provide enough financial protection from a serious claim. You and your business can be open to this risk and make your assets that you have worked so hard for vulnerable. A Phoenix commercial umbrella liability policy can increase your liability protection when a potential lawsuit(s) max out the limits of your current policies. Many business owners will carry a general liability policy and commercial auto policy with limits up to $1,000,000 but what happens if your business is being sued for $2,000,000 or even $5,000,000? This is where a commercial umbrella liability insurance policy to increase your liability limits to $5,000,000, $10,000,000 or even $100,000,000 depending on the size and nature of your business. Always discuss your business with an agent at Smart Move insurance, Inc. first to help you decide the best option for you.
A commercial umbrella liability insurance policy is different from your ordinary general liability or professional liability policy because it acts as an “umbrella” to all of those policies and more. For example, your commercial auto insurance policy will cover liability while a vehicle listed on your policy is being used in your business but doesn’t cover any general liability claims of the business.
A Commercial umbrella liability insurance policy will kick in after your other liability insurance policies have reached their policy limits. Let’s say a driver of your trucking company gets into a major accidents and the total liability claim is $1,500,000. The business has a commercial auto policy with limits of $1,000,000. Well thankfully, as the owner of the business, you had discussed your insurance needs with a licensed agent at Smart Move Insurance, Inc. and your business has a $5,000,000 commercial umbrella liability policy. In this case, the commercial auto policy would exhaust the $1,000,000 of liability claims and the umbrella would supplement the additional $500,000 to fully take care of the liability claim. Without this policy, you and your business would be responsible for the additional $500,000 of damages not covered by commercial auto liability policy. We, here at Smart Move Insurance, Inc., would welcome the opportunity to discuss your potential need for a Phoenix, AZ commercial umbrella liability policy with you for your business.