Umbrella Insurance (Commercial)

Umbrella Insurance

What is Commercial Umbrella Insurance?

Commercial Umbrella Insurance provides extra liability coverage when you need it the most.

If your company faces a covered lawsuit and the liability exposure maxes out your General Liability Insurance policy limits but your company still owe monetary damages, Commercial Umbrella coverage can provide additional funds to make up the difference.



Specifically, Umbrella Liability Insurance can supplement the coverage offered by:

General Liability Insurance.
Employer’s Liability Insurance (often included in Workers’ Compensation Insurance).
Commercial Auto Liability Insurance.

Each insurer will require that you carry minimum policy limits on these insurance policies before offering you Commercial Umbrella Insurance.

Basically, you can make a claim on a Commercial Umbrella Insurance policy when…

  • Your business is sued over customer injuries, customer property damage, or employee injuries not covered by a Workers’ Comp policy; and
  • The cost of the lawsuit is more than the limit of the underlying insurance policy designed to cover it.

Note: An Umbrella policy cannot supplement the coverage of your Professional Liability Insurance.

What risks do we provide coverage for?

We provide coverage in CT for:

  • Real Estate
  • Retail
    • Bakeries
    • Candy And Confectionery Stores
    • Clothing Or Wearing Apparel
    • Dairy Products Butter & Egg Store
    • Delicatessens
    • Electronic Stores
    • Florists
    • Grocery Stores
    • Gas Stations
  • Manufactures
  • Wholesale Distribution
    • Jewelry Stores
    • Paper Products Distributors
    • Fruit or Vegetable Distributors
    • Plumbing Supplies, Fixtures Dealers and Distributors
    • Floor Covering Distributors
  • Service Industry
    • Locksmiths
    • Nail Salons
    • Lawn Care Services
    • Laundries/Dry Cleaners
    • Car Washes
    • Beauty Parlors/Hair Styling Salons
    • Barber Shops
    • Billiard Or Pool Halls
  • Construction
    • Construction or Project Manager
    • Concrete Contractor
    • Handyman
    • Insulation Contractor
    • Septic Tank Systems ‐ Install Service Repair
    • Carpentry ‐ Interior
    • Electrician
    • Painters
    • Plastering Or Stucco Work
    • Plumbing Residential Or Domestic
    • Steam Pipe Or Boiler Installation
    • Welding Or Cutting
    • Carpentry ‐ Interior
  • Restaurants

What Does Commercial Umbrella Insurance Cover?

If you have any (or all) of these three qualifying policies – General Liability Insurance, Employer’s Liability Insurance, or Commercial Auto Liability Insurance – a commercial umbrella can boost your liability coverage.

Umbrella Insurance CAN increase coverage for:

  • Slip-and-fall injury liability.
  • Car Accident liability.
  • Workers’ Compensation lawsuits.
  • Lawsuits over third-party property damage.

Commercial Umbrella Insurance CANNOT cover…

  • Malpractice lawsuits.
  • Professional liability lawsuits.
  • Employee discrimination lawsuits.
  • Property damage.

Some commercial umbrellas can also cover risks that may be excluded by underlying liability policies.
For example, most General Liability Insurance policies don’t include Liquor Liability Insurance, but a Commercial Umbrella policy might.

How Much Does Umbrella Liability Insurance Cost?

Commercial Umbrella Insurance can be a cost-effective way to add an extra layer of protection to your business. It’s usually purchased in $1 million increments.
Customers will pay depending on the type of risk, industry, and limits selected typically as little as $750/per year or even less in some specific cases.
Your Umbrella Insurance premium may vary depending on the size, location, and risks of your business.

To learn more, contact us today


Who Needs a Commercial Umbrella Policy?

Commercial Umbrella Insurance used to be a policy that only big businesses bought. These days, more small businesses invest in commercial umbrellas. You might consider it if…

  • You need more protection and are on a budget.
    Increasing the limits of your General Liability policy often costs more than getting a commercial umbrella.
  • You want to sign a big client who requires more liability insurance.
    A commercial umbrella policy can often satisfy their requirements.
  • You have lots of contact with the public.
    The more foot traffic a business has, the greater its liability risks are.
  • You worry about the exclusions in your other liability policies.
    Some Umbrella Insurance covers claims that other small business liability policies exclude.

Key Takeaways about Commercial Umbrella Insurance

As your compare, Umbrella Insurance quotes and begin considering your options, keep these three things in mind.

  1. You can’t buy Umbrella Coverage without having at least one other policy.
    You need to have General Liability, Employer’s Liability, or Commercial Auto before you can get Umbrella coverage.
  2. Umbrella Insurance doesn’t work with Professional Liability Insurance.
    While it does boost three other policies, Umbrella Insurance can’t help out with professional liability claims.
  3. Umbrella Insurance comes in $1 million increments.
    Small-business owners can increase their lawsuit protection in $1 million increments through Commercial Umbrella Insurance.