The umbrella policy allows you to strike the right balance between comprehensive protection and affordable premiums. Buying $100 million coverage for all types of liability risks may offer complete protection. However, you may end up spending all your profits on premiums alone. This coverage lets you cover a wide range of liability risks under a single plan at a relatively affordable premium.
Value for money aside, umbrella policy insurance will protect your business from new risks that may unexpectedly arise in a rapidly-growing business. Managing a product recall may not be a complicated issue for a small company operating in just one or two cities.
However, the rapid expansion of business to all major cities of may require a state-wide recall of a faulty product. Instead of buying expensive specialized coverage, you can opt for nominal protection and back it up with umbrella coverage.
The commercial umbrella policy insurance fulfills the most important function of insurance—risk control. With such coverage in your hand, you can operate your business without fear of losing it all due to a single mistake or a single claim. You can also customize the plan to include indemnity to your business in case of excessive losses due to fire, theft, or other risks that don’t strictly fall within the ambit of liability insurance.
If you wish to acquire real protection from liability claims for your business, contact us for more information about selecting the right umbrella policy with the right amount of coverage for virtually all risks affecting your business.