Umbrella insurance???
I am fixing to buy a business and my current insurance company does not cover commercial properties. With that said, is it better for me to get the Umbrella coverage or go separate. I have a home and 2 cars on my current policy but need to find a company that will cover it all. Any suggestion what to do? Thanks in advance
You will need a commercial policy for both liability and property. The umbrella policy requires that you have an underlying policy in place first, then the umbrella kicks in for liability above your underlying policy. The umbrella from your current homeowners insurance will not cover anything for the business.
You'll want to visit a local independent agent that deals with commercial policies. The agent will know what types of policies you will need for the business. They can shop the market for you to find a policy that's best for your situation.
You will need a commercial policy for both liability and property. The umbrella policy requires that you have an underlying policy in place first, then the umbrella kicks in for liability above your underlying policy. The umbrella from your current homeowners insurance will not cover anything for the business.
You'll want to visit a local independent agent that deals with commercial policies. The agent will know what types of policies you will need for the business. They can shop the market for you to find a policy that's best for your situation.
References :
Independent Agent
How is the business structured? LLC? C-corp? S-Corp?
Depending on how it's structured, the worst that could happen would be for someone to sue for all of the company's assets, not your personal ones.
Now, You should still have a Personal Liability Umbrella.
Your business Insurance should have a Liability Component. A $1mil liability with a $2mill Aggregate is fairly typical.
If you still don't feel comfortable with that policy's limit, you can always go to another insurance company for just the one policy, you don't need to move all of your other policies over to it.
References :
Insurance Account Rep and Small Business owner
I would do some research on the internet, and check things out.
Best of luck to you with your new business!
References :
OK, I think you're not understanding what an UMBRELLA is. It's an EXTRA policy, that goes OVER a basic policy. There are commercial umbrellas, and personal umbrellas. And more likely, the policy isn't a true "umbrella", but an "excess liability" policy. That means, you're responsible for the first $1,000,000, and then the policy kicks in after that.
A personal umbrella isn't going to cover business property. You MIGHT be able to find one company to cover everything, but it's probably going to be more cost effective to have the personal insurance one place, and the business insurance with a company that specializes in business insurance. Then you'll need commercial liability (depending on the type of property/tenant type) and if you want more than $1,000,000 of liability, a commercial umbrella/excess policy.
You really need to sit down with your agent, and go over your options. If your current agent can't handle the business end of your insurance, you probably need a different agent, to handle your whole account.
References :
agent, 21+ years