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how much (Umbrella coverage) Insurance do you Have ?

Discussion in 'Business Fundamentals' started by andre6410, Jan 22, 2014.

  1. andre6410

    andre6410 Junior Member
    from pa
    Messages: 1

    I had a customer want me to bump mine up from 1 million to 5 million.
  2. fireball

    fireball PlowSite.com Veteran
    Messages: 535

    seems like a reasonable request. Someone broke the 750,000 apple logo at the apple store in NYC. According to the news media, damage was caused with a snow blower. I can hear it now, Ah boss, I broke a window with the snow blower, we might be running a little late
  3. Boomer123

    Boomer123 Senior Member
    Messages: 334

    My normal insurance policy is for 2 mil and then I have an umbrella for another 1 mil.
  4. Ben/Insurance

    Ben/Insurance Sponsor
    Messages: 149

    It usually depends on a couple of factors. One, if your company has significant assets (property, cash, equipment, etc) you need a good umbrella policy. $ 1mill is the lowest coverage limit and I've seen $100 million umbrella policies also. Two, if your customer, GC, municipality, or similar requires a certain umbrella coverage limit. As an example, it is not uncommon for many of our clients to be required to maintain $5 mill umbrella coverage frorm a GC that subs out a lot of work to them. The same thing goes for building owners in NYC. Many building owners require even $10 mill umbrellas of our contracting clients. I hope that helps.
  5. SnoFarmer

    SnoFarmer PlowSite Fanatic
    from N,E. MN
    Messages: 7,921

    For the avg small/med snow operation a 2mill umbrella is more than enough.

    Umbrella insurance provides reassurance and protection against lawsuits and claims that exceed the limits of your other insurance policies.

    1mill liability (snowplowing)
    Last edited: Jan 24, 2014
  6. Herm Witte

    Herm Witte Senior Member
    Messages: 546

    3 million excess
  7. Mr.Markus

    Mr.Markus PlowSite Fanatic
    Messages: 5,107

    I have $2m GL with a $3m umbrella, it allows me to bid contracts with a $5m requirement. Todays court rulings and insurance settlements are crazy. 1 accident can wipe out your company.
  8. JimMarshall

    JimMarshall Senior Member
    from NW PA
    Messages: 785

    We have 1M CGL and 4M Umbrella
  9. SnoFarmer

    SnoFarmer PlowSite Fanatic
    from N,E. MN
    Messages: 7,921

    "1 accident can wipe out your company. "

    The AVG slip and fall is settled for around 30k.
    No where close to a million.
    Total out someones car 20-40k with out injures.

    The only time a million is going to come into play is if you are negligent and kill someone.
    or for nonfeasance .

    The business does a mill in business a day and they couldn't do business because you didn't plow.

    This requiring 5mill for the avg snow plowers is over the top.
  10. OldSchoolPSD

    OldSchoolPSD Senior Member
    Messages: 242

    I carry 5 million. Most government contacts require that much, so I carry it year round anyways.
  11. Mr.Markus

    Mr.Markus PlowSite Fanatic
    Messages: 5,107

    Acccidents happen..I know of an instance that occurrd on a beautiful sunny day involving a truck and train. The truck didn't see the train and hit it enough to derail it, last I heard the claim was up to 12m from the railroad... to increase from 1m to 2 mil was maybe $200 on my policy. The additional umbrella was worth it as well. It exceeds my assets.
    .......and the value of my dogs.Thumbs Up