Your business should have a general liability or business owner’s policy in place to start with. If you have company vehicles titled in the business name then you should also have a business auto policy. Those are the basic policies that a business umbrella policy would go over.
Business umbrella insurance provides additional coverage to all the underlying policies that you hold for extra protection. The excess insurance can be anywhere from one million to several million dollars.
When your benefits get exhausted by a large claim on your underlying policies, then business umbrella coverage will start. Some business umbrella policies have a deductible that would need to be met prior to coverage starting.