3 times when you need umbrella insurance

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Umbrella insurance isn’t a commonly talked about type of insurance, but it is one of the most important investments a business owner can make.  Umbrella insurance covers businesses when other types of coverage just won’t pay for damages.  In fact umbrella insurance comes in handy for these type of situations.

  1. Sale losses from a natural disaster.  While your building, equipment, and vehicles are protected by other insurance policies, there is nothing that can reimburse you for lost sales that happen during a natural disaster.  Umbrella insurance policies can be written to provide you some funds to make up for the lack of business.
  2. Product recalls. It can be next to impossible to predict when a bad shipment of a raw material or a minor design flaw could cause major problems with a product. If a product has to be recalled, your business has to absorb the cost.  Umbrella insurance will reimburse you for these expenses.
  3. Customer lawsuits. Getting sued by a former customer or client can be one of the most stressful things that your business has to go through. Fortunately, an umbrella insurance policy can help in a number of ways. The policy can provide funds for legal counsel or in some cases provide a lawyer to you.  Once the case is resolved, an umbrella policy can provide funds to pay the settlement.

Umbrella insurance is one of the most useful coverage that a small business can have.  If you’re interested in buying a policy, contact the insurance agents at Pizano Insurance.  They have years of experience helping business owners write umbrella policies that meet their specific needs.