How Commercial Umbrella Insurance Can Save Your Business

How Commercial Umbrella Insurance Can Save Your Business

You want to be smart with your business. There may be issues with theft, fire, hurricanes, and all sorts of other things. Your ability to recover is something that needs to be considered. While you may have business insurance in place, commercial umbrella insurance may be what actually helps you to save your business.

Your Policies Only Offer So Much Protection

You may have a lot of different types of business insurance to protect your business in Florida. This could include commercial auto insurance, property insurance, liability insurance, and more. These are all designed to provide you with financial protection.

The biggest problem with these policies is that they are only going to offer so much protection. For example, your property insurance may only provide you with $50,000 worth of coverage. Your commercial auto insurance may only offer $50,000 worth of property damage. While you get to set how much coverage you need, this is set in advance. Once there is an accident and you have to file a claim, the coverage already in place is what will be used.

If you have an accident, repair, lawsuit, or something else that exceeds the amount of protection you have in place with an insurance policy, you are held responsible for the remaining amount. This would be money that you pull out of your business – and if the remaining amount is too much, it could be enough to bankrupt you, causing you to close your business forever.

Anything Can Happen

Anything can happen. You never know what is going to happen tomorrow, and therefore you need to plan for the unexpected. Your business could get broken into, a fire could break out within the neighborhood and spread to your building, or a customer could sue you based upon something that happened last week or last month.

Since you can never be too sure what will and will not happen, you need comprehensive business insurance. A commercial umbrella insurance policy is designed to help you prepare for the unexpected. If something happens and you exceed the amount of coverage you have on a standard business insurance policy, the umbrella insurance is then used.

Depending upon the policy, it may provide you with another $50,000 or even $100,000 of coverage. This will kick in after the other policy has been exhausted. It may be what is needed in order to protect the finances of your business.

Losing Everything Kills Your Business

Losing everything is a great way to kill your business. You don’t want a single accident or lawsuit to drain your finances. The whole reason you have business insurance in Florida is for financial protection. A commercial umbrella insurance policy simply provides you with more protection.

Finally a commercial umbrella insurance policy in Florida is easier than you might think. Work with an independent insurance agent to learn more about what it encompasses and how much coverage you should have on your policy.