It’s vital that your clients understand just how important it is for many of them to secure New York Umbrella insurance for their businesses. For example, if the company is ever involved in a major lawsuit where their primary insurance doesn’t cover the settlement amount, and a jury is quite capable of awarding the injured party millions of dollars, without an umbrella policy, your client would be obligated to pay whatever their policy doesn’t cover.
Obviously they could be wiped out financially. There are some businesses that think that such a nightmare could never happen. Others have taken the time to invest in umbrella, or excess liability coverage, which will then be able to take care of their liability for any lawsuits and possible medical bills associated with injuries to any victims.
An umbrella policy is suited for businesses big and small
Many small companies with either don’t consider buying this extra coverage, or in some instances simply don’t buy enough. Others do not even know about the existence of excess liability coverage, which also pays for lawyers and other legal expenses. Still, there are those who may have heard of it, but do not understand how it works, or decide that it isn’t in their budget to do so, despite the fact that the cost is usually marginal compared to the value it provides.
Many business owners obtain coverage but they never revisit their policy to ensure they have enough coverage in place over time. The amount of coverage that you may have purchased three years ago may no longer be sufficient in lieu of the fact that the amounts of awards being handed out by courts today are dramatically higher.
Ask some of your newer clients or customer whether they currently have umbrella coverage. It’s possible that the majority of them are uninsured, or at least underinsured. You’re likely to find that their assets have grown and they never took the time to evaluate their current needs.
New York Umbrella coverage usually starts around $5 million dollars, and is available in amounts up to $100 million in coverage. Because no one actually mandates buying this policy, it is perhaps a good idea to inform them of their need for this type of policy, as it might just be the most important part of their overall insurance package.