How a Commercial Umbrella Policy works

A commercial umbrella policy works by providing additional liability coverage above and beyond what is offered by your primary insurance policies. It's important to note that a commercial umbrella policy does not replace your primary policies but rather works in conjunction with them.

In the event of a claim or lawsuit, your primary insurance policies will be responsible for covering the initial costs up to their limits. Once those limits are exhausted, your commercial umbrella policy will kick in, providing additional coverage. The coverage limit of your commercial umbrella policy will depend on the amount of coverage you purchase.