Commercial Umbrella Insurance for Extra Liability Limits

Contracts from retailers, public entities, and larger general contractors routinely ask for $2 million to $5 million of total liability. Buying that entirely on the primary form is often more expensive than a $1 million primary plus an umbrella. We run both structures.

Umbrella forms follow the underlying policies, but they are not identical. We check that the umbrella actually sits over every primary line the contract names, that self-insured retentions are understood, and that additional-insured obligations on the primary are not orphaned at the excess layer.

Limit is a function of the account, the carriers who will support it, and the contracts in front of you. Some accounts need $2 million. Some need more. The application and the loss runs decide. We do not publish a maximum capacity number as if it were ours.

Stop-gap employer's liability in Washington and private WC employer's liability in competitive states should be scheduled when the umbrella is meant to drop over employee-injury lawsuits. Leaving that underlying off the schedule is a common silent gap.

• Follows GL / BOP Extra limit for premises, operations, and products claims that exhaust the primary.
• Follows commercial auto The claim that actually uses an umbrella is often a vehicle accident, not a slip-and-fall.
• Employer's liability drop-down Scheduled over stop-gap or WC employer's liability when the account needs it.
• Contract compliance We read the additional-insured and limit language before we bind, not after the bid deadline.