A commercial umbrella sits above your general liability, commercial auto and employers liability policies and takes over when a judgment exceeds those limits. In California's litigation environment, it is the cheapest large limit of protection a business can buy.
A single serious auto accident involving an employee, or a customer injury with long-term medical care, can produce a verdict well beyond a standard $1 million per-occurrence limit. Once the primary policy is exhausted, the business pays the rest. An umbrella adds $1 million to $10 million or more for a fraction of the cost of raising every underlying limit.
A true umbrella follows the underlying policies and can also drop down to cover some claims those policies exclude, subject to a self-insured retention. Excess liability simply extends the same terms with no broader coverage. We tell you which form you are buying, because the difference only shows up at claim time.
Bay Area general contractors, municipalities, universities and large landlords frequently require $5 million or more in combined limits. The umbrella must schedule each underlying policy with matching limits and additional-insured wording, or the certificate fails review. We coordinate the whole program so the layers actually line up.