Commercial umbrella insurance
is often viewed as the most cost-effective way to protect yourself against the kinds of lawsuit-triggering events that could put you out of business. Think about it: Just one accident or inadvertent error could leave your company vulnerable to potentially massive damages and legal fees.
This insurance will typically cover the legal costs, including attorneys’ fees, associated with a lawsuit. It would kick in either after your underlying policy coverage is tapped out, or in certain situations where the umbrella insurance drops down to fill in a coverage gap – even if a suit is frivolous or baseless.