Umbrella Liability Insurance Charlotte NC
An Umbrella Liability Insurance policy supplies additional protection to insurance service providers by supplementing the limits of liability provided by underlying liability policies such as Business Auto, General Liability, and Employers Liability (part of your Workers Compensation policy).
As an example, if you purchase a $1,000,000 Umbrella Liability policy to accompany your existing $1,000,000 General Liability policy and $1,000,000 Business Auto policy, your true level of protection has actually been increased to a limit of $2,000,000 under both your General Liability and Business Auto Liability policies.
In addition, some Umbrella Liability insurance coverage provide drop down protection and in fact cover some claims that might be omitted under General Liability, Business Auto, and Employers Liability (part of your Workers Compensation) policies. When this occurs, your Umbrella coverage may go through a self Insured Retention which imitates a deductible.
The cost of Umbrella Liability Insurance for the very first $1,000,000 layer of protection is usually 20 % of the premiums for the underlying Business Auto Liability and General Liability. An Umbrella policy is generally based on a minimum premium that could range from $500 to $1000 for each increment of $1,000,000 that is bought.