The Importance of Personal and Commercial Umbrella Policies

The Importance of Personal and Commercial Umbrella PoliciesCould you or your business benefit from an umbrella policy?

When it comes to getting insurance, many individuals and business owners purchase the bare minimum and hope that the worst won’t happen to them. The reality is that disasters can happen to anyone and any business. When the worst does happen, an umbrella policy can step in to protect your home, assets, business, and wallet. Take a look at the importance of personal and commercial umbrella policies.

Personal Umbrella

A personal umbrella policy will kick in when your current home/auto insurance coverage has been exhausted. While you may think that you have plenty of home and auto coverage, all it takes is one bad accident for your policy’s maximum payout to be reached. Here are just a few reasons why you should consider a personal umbrella policy:

  • It protects your assets. An umbrella policy helps ensure your assets (e.g., car, house, investments, checking and savings accounts, etc.) are protected in case of an unforeseen accident that exceeds your auto or homeowners limits.
  • It better protects you. Umbrella insurance can cover you for situations you didn’t even know were possible, such as if you are liable for injuries when renting a boat or jet ski while traveling abroad. It can even help when you get involved in an accident when driving a car provided by your employer.
  • It helps cover the cost of legal fees. Umbrella insurance will help you pay the legal fees in addition to your umbrella limit of insurance.

Commercial Umbrella

A commercial umbrella policy is designed to provide coverage when you have expenses that are not covered by your current liability policy. In essence, it ‘picks up’ where your business liability coverage stops. Here is why you should add on umbrella coverage for your business:

  • It covers liabilities your policy doesn’t cover. If your primary general liability policy doesn’t cover losses or damages, your umbrella policy might. Advertising liability is a good example of this.
  • It covers your business against unforeseen circumstances. If an employee says something online that damages the business, a customer slips on a wet walkway and gets injured, or an employee runs a red light in a company car and causes damage and injuries, umbrella insurance can help.
  • It can be customized for your business. Most policies can be tailored to your business so that you only pay for what you need.


Are you ready to find the right level of insurance coverage? Contact the insurance experts Perry & Carroll in Elmira, New York for all of your umbrella insurance needs.