Knowing How to Cover Gaps in Your Insurance Coverage

Purchasing an insurance policy may bring you peace of mind, but your liability policy may leave expensive gaps or exclusions. There are coverage limits as well, and resolving an incident could exceed what your insurance policy provides. When this happens, an excess liability or umbrella policy could help make up the difference.

Knowing the Difference

Though the terms are sometimes used interchangeably, there are noted differences between excess insurance vs umbrella coverage. With umbrella policies, the insured is given higher liability limits as well as a broad scope of coverage for the policy itself. Umbrella coverage can usually fill in gaps like coverage territory, such as moving from a national scope to a worldwide application. With an excess liability policy, the insured is provided additional coverage beyond the financial limits established by the underlying policy. However, because the financial limits are extended, the policy may be more restrictive when written.

Paying Attention

Either policy you choose, you need to carefully read through to find out inclusions and exclusions. The policies themselves don’t follow a standard format, making it easier for you to overlook a crucial detail or simply assume a situation is covered.

The distinction between the two policies can become blurred, especially when agents are talking to you about the benefits of carrying additional coverage. With this information, you should have a better understanding of what policy will best cover your liabilities.

Builders Insurance 101

In the construction industry, you have to be careful. There are hazards that other industries do not have to deal with. Here is what you need to know about builders’ risk insurance and contractor’s general liability insurance. Builders and contractors need specific insurance solutions for the circumstances that they work in.

What Is Builders Risk Insurance?

When you work in the construction industry, there are insurance policies that will protect you. If you visit www.sboneinsurance.com/, it explains how builders risk insurance covers the contractor’s materials, property, and equipment. This coverage may help in the cases of:
Theft
Lightning
Hail
Vandalism
It’s important to check your policy in advance to find out what is covered.

What Is Contractors General Liability?

The negligence for the builder’s risk falls under general liability insurance. These policies protect against accidents and any liability that you may have due to accidents. If you’re in the construction industry, then odds are you need general liability insurance for construction workers. In the construction industry, you are more likely to have risks of:
Contractor injuries
Property damage
Collapse
This makes your need for insurance coverage crucial. It is particularly important to have specialized coverages.
When you work in the construction industry, there are inherent risks that you will not find in other industries. This is why it’s crucial to have coverages that take builders’ risk into account.