Umbrella Insurance
Excess Liability Insurance for Retail Businesses

There are many types of retail businesses out there — athletic stores, bridal shops, florists, jewelry stores, and more. Umbrella Liability Insurance can help protect them all with extra liability coverage.

Umbrella Liability Insurance — sometimes called Excess Liability Insurance — works by increasing the protection limits on some of your existing liability policies. Why would you need to do that? Even the most effective insurance policies cannot account for every type of incident. It's possible that one day your retail business will face a claim that costs more than your insurance policy can cover.

Here's an example: You own a bookstore in your town's center. One day, one of your bookcases collapses and heavy shelves and books fall on top of a small child. The child in knocked unconscious and must receive emergency medical care.

You have General Liability Insurance, so many of the costs associated with treating the injuries are covered — but not all. The child's injuries are severe, and the family is suing for all you're worth, and then some. The total cost of the claim ends up being $70,000 more than the limit of your General Liability Insurance policy.

If you carry Umbrella Insurance, your extra coverage would be able to cover the costs beyond the limit of your GL policy. Without Umbrella Insurance, your business would be responsible for paying the extra $70,000 out of its assets.

Extra Protection

Extra Protection: Umbrella Insurance for Retail Business Owners

Umbrella Insurance protects retail business owners by boosting the power of their existing liability policies. You read that right: One Umbrella policy can affect multiple liability policies that you already carry.

For this reason, Umbrella Insurance can benefit a wide variety of retailers. To better understand how Umbrella Liability Insurance can work for you, consider the following questions:

  • How often do you interact with the pubic? If you're like most retail businesses, the answer is “a lot.” Unfortunately, this puts your business at high risk for the types of third-party claims covered by General Liability Insurance: property damage, bodily injury, personal / advertising injury, and more.
  • Do you own or hire business vehicles? Some retail businesses, like florists, depend on their owned vehicles more than others. But even if you rent the occasional car, know that Umbrella Insurance can boost your Hired and Non-Owned Auto Insurance. Given that auto claims can become quite expensive — particularly when injuries are involved — it's not a bad idea to have extra liability coverage just for this purpose.
  • Do you have employees? If you have employees, then you probably already carry a Workers' Compensation Insurance policy. Umbrella Insurance can boost the Employer's Liability portion of that policy, which protects you if an employee sues your business after a workplace injury or illness.
  • Do you carry a Business Owner's Policy? Just because your General Liability and Property Insurance is bundled together does not mean you can't enjoy the benefits of Umbrella Insurance. The extra protection can be easily applied to the GL portion of your coverage.

If your retail business faces any or all of the above exposures, then Umbrella Insurance may be an option worth considering.

Costs

How Much Does Umbrella Insurance for Retailers Cost?

Umbrella Insurance is one of the most affordable policies that retailers can carry. It's sold in $1 million sums — which might sound a bit extreme for your modest storefront. But don't worry: $1 million in extra liability protection often only costs a few hundred dollars each year! There's a good chance you'll spend more on coffee than your extra liability protection.

Umbrella Insurance may not need to be employed often, but when it is, it can mean the difference between a business's continued success or sudden failure. But before you make you final decision, keep the following important points in mind:

  • It can't cover everything. Umbrella Insurance can cover multiple policies, but it cannot be applied to every policy you carry. For example, it cannot increase the limits of your Property Insurance. If you want additional coverage through an Umbrella policy, ask your agent what your options are from various providers.
  • Purchase your whole plan together. When it comes to Umbrella policies, it's often easier and more affordable to purchase coverage from the same insurance provider who wrote your other policies. Your agent can help you find an Umbrella policy that suits your needs.

If you still aren't sure whether Umbrella Insurance is right for you, think about it this way: Umbrella Insurance is a way to pay for peace of mind. When you carry a policy, you know you've done everything in your power to protect your retail business from disaster.

Umbrella Liability Insurance Quotes for Retail Businesses

Are you ready to receive Umbrella Liability Insurance quotes for your business? If you are, contact an Insureon agent who specializes in securing coverage for retailers like you. You can also fill out our online application to have your Umbrella Insurance quotes sent to your inbox.

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