Umbrella Liability Insurance
Even if you carry general liability insurance for your business, you might face a repair, settlement, or judgment in excess of your coverage limit. Without business umbrella insurance (also called umbrella liability insurance or excess liability insurance), you would have to pay the uncovered expenses out of pocket.
As a small-business owner, you may be able to protect more of your assets by investing in an umbrella policy rather than relying on ordinary insurance. If you face a legal settlement for an amount in excess of your standard insurance, for example, an umbrella policy could protect you from having to drain your bank account or selling your assets to cover the cost.