Are Business Umbrella Insurance and Excess Liability Insurance the Same?
Business umbrella policies and excess liability policies are both forms of supplemental liability insurance, and each will provide secondary liability protection in the event of a covered claim that exceeds any underlying coverage. The policies differ from each other in one important way, however, and this difference has two significant implications.
Business umbrella policies typically come with their own terms and conditions, while excess liability policies normally adopt those of an underlying policy that they supplement. Excess liability policies are sometimes referred to as “follow form” policies because they simply copy the terms and conditions of a primary policy in most situations.
As a result of this difference, business umbrella policies frequently can supplement multiple underlying policies at once and might even cover claims that underlying policies exclude from their protections. Excess liability policies, in contrast, usually supplement only one underlying policy and don’t add protection for claims that policy doesn’t cover. Aside from increased limits, excess liability tends to offer little (if any) additional protections.
What Limits Do Commercial Umbrella Policies Come With?
As is the case with many other insurance policies, businesses often can select from a range of limits when purchasing a commercial umbrella policy. In most cases, the range includes high limits that offer millions of dollars worth or protection. An agent can help businesses determine exactly what limits are available to them.
How Can Businesses in Massachusetts Get Commercial Umbrella Insurance?
For help finding commercial umbrella insurance that will give your business robust protection, contact the independent insurance agents at Roger Keith & Sons Insurance. Our agents will help you assess your Massachusetts business’ risk exposure and then find a policy that offers solid coverage against many of the potential liability risks you face.
