The cover that only matters once, and matters completely.
Your liability limit is a ceiling. Anything above it is paid by the business, and then by the owners. Extra layers cost far less than the first million, because the top of a tower is rarely reached, which is exactly why buying more is usually cheaper than people assume.
Ask what higher limits cost How it worksExtra liability limit above the policies you already hold
Anyone working at height, with vehicles, or with the public on site
Your current limits and any contract asking for more
What is umbrella or excess liability insurance?
It sits on top of the liability policies you already hold and pays when a claim exhausts them. Excess liability follows the terms of the policy underneath it. An umbrella can be slightly broader, sometimes covering things the underlying policy does not, subject to its own deductible. Either way, the point is the same: it raises the ceiling on the claim that would otherwise reach your balance sheet.
A claim that exhausts your liability limit does not stop there. The remainder is a debt of the business, and for most owners that means the assets they spent a working life building.
A tower, not a replacement.
The underlying policies
Your general liability, commercial auto and sometimes employer’s liability. These pay first, up to their limits.
The excess layer
Picks up where they stop, to a much higher total. Commonly bought in millions at a time.
Why it is cheap per million
Claims that large are rare, so the price per million falls sharply as you go up the tower.
Contract requirements
Larger construction, public-sector and enterprise contracts frequently demand $5M, $10M or more in total.
What it does not do
It cannot fix a gap in the underlying policy. If the base policy excludes something, the excess layer usually excludes it too.
Keeping the tower valid
If an underlying policy lapses or is reduced, the excess layer may not respond as expected. Renewals must stay aligned.
Who genuinely needs a higher limit.
Not everyone does. These are the situations where the base limit is most likely to be exceeded.
You work at height or with heavy equipment
Construction, roofing, crane work, excavation. A single serious injury claim can pass $2 million quickly.
The public comes to you
Restaurants, venues, events, recreation. Volume of people means volume of exposure.
Vehicles are central to the business
A serious at-fault accident involving a commercial vehicle is one of the most common routes to a very large claim.
A situation we see.
A serious at-fault accident involving a company truck settles above your two million limit. The excess layer pays the difference. Without it, the remainder is a debt of the business.
Ask us the price before you decide you cannot afford it.
Most owners guess high, and stop there.
The assumption is that doubling the limit doubles the premium. It does not. Because the upper layers are far less likely to be reached, an additional several million in cover often costs a fraction of the base policy.
So the honest advice is simple: ask for the number. If it is small relative to what it protects, and it usually is, take it. If your exposure genuinely does not justify it, we will tell you that instead.
What business owners ask us.
What is the difference between umbrella and excess liability?
Excess liability follows the terms of the policy beneath it and simply extends the limit. An umbrella can be broader in places, sometimes covering exposures the underlying policy does not, subject to its own deductible.
How much total liability should my business carry?
At minimum what your contracts require. Beyond that it is about exposure: how badly someone could be hurt by what you do, and how much of your balance sheet is at risk above the limit.
Does an umbrella fix gaps in my main policy?
Generally no. If the underlying policy excludes something, the layer above usually excludes it too. Fix the base cover first, then raise the limit.
Is it much more expensive to go from $2M to $5M?
Usually far less than people expect, because the additional layers are unlikely to be reached. It is worth asking for the actual figure before ruling it out.
My contract asks for $10 million. Can that be arranged?
Yes, commonly through an excess layer on top of your existing policies. Send us the insurance clause and we will build the tower to match it exactly.
Does it cover professional liability too?
Not usually. Professional liability is a separate line, and an excess layer over it has to be arranged deliberately.
Ask for the number.
Tell us your current limits and what your contracts demand. We will price the layers above.