Commercial Umbrella Liability Insurance
Commercial Umbrella Liability (Sometimes called Excess Liability) is a coverage written to cover your exposure to damages by third parties for bodily injury or property damage claims or lawsuits that exceed your limits on your underlying policies. Most policies are very broad and cover over the following policies:
- General Liability Insurance
- Commercial Automobile Liability
- Employers Liability portion of Workers Compensation
- Professional Liability (under certain circumstances)
The limits available vary but standard limits available are start at $1,000,000 per occurrence and go to almost unlimited limits. Some policies will also contain one or more "aggregates", Aggregates are the most a policy could pay in a year.
The premium basis will vary on policies based on the type of business you own. Most Commercial Umbrella Policies are priced based on your underlying liability premiums.
Endorsements are used to modify the standard policy. Some endorsements expand coverage while others limit coverage. These can be used to customize your insurance for your type of business. Some types of widely used endorsements are:
- Additional Insured
- Self -Insured Retention
- Exclusion Endorsements to limit exposures and reduce pricing
- Insurance Company Specific