As a business owner, you have assets and other business-related things that you need to protect. Your current business insurance policy may meet most of your needs, but situations may require more than your primary insurance will cover. Even as a small online business owner, there are things you need to protect to keep your business running. Our Sioux City, IA team at Heimgartner Insurance Inc is committed to helping small business owners understand the benefits of umbrella insurance.

What is Umbrella Insurance?

Umbrella insurance is secondary insurance designed to kick in once the maximum limits of your primary insurance have been met. This insurance covers anything that exceeds the limits of your primary insurance.

However, there are instances when umbrella insurance can act as primary insurance if a situation, circumstance, or incident isn’t covered at all by your primary insurance. Of course, the guidelines of your umbrella insurance policy determine if your umbrella insurance can cover situations not covered by primary insurance. Every insurance company will have its own guidelines and eligibility requirements.

I have a very small online business. Do I need umbrella insurance?

Maybe. As an online business owner, you need to discuss the risks and potential pitfalls with an insurance agent. You’ll be able to gauge whether or not umbrella insurance will be a necessity or beneficial.

As an online entrepreneur, you’ll still want protection from liability claims as well as protection for your brand and data. As a result, umbrella insurance may be a good investment for providing extra protection should any situations that compromise your brand or pose liability risks emerge.