Leif Olson, Car Insurance Writer
Permalink Report Abuse
Yes, umbrella insurance does cover businesses. This is because umbrella insurance provides coverage beyond the limits of your other insurance policies, and things like injuries to others on property that you own are generally covered by home or auto insurance then extended by umbrella coverage.
For example, if you have a house party where someone falls and hurts themselves and sues you for more than your home insurance will cover, umbrella insurance will help pay for the rest.
Other Situations Covered by Umbrella Insurance
- False arrest
- Malicious prosecution
- Personal psychological harm and mental anguish
- Legal defense costs for covered losses
- Liabilities when traveling overseas
- Accusations of libel, slander and character defamation
To learn more, check out WalletHub’s guide to umbrella insurance.
People also ask
WalletHub Answers is a free service that helps consumers access financial information. Information on WalletHub Answers is provided “as is” and should not be considered financial, legal or investment advice. WalletHub is not a financial advisor, law firm, “lawyer referral service,” or a substitute for a financial advisor, attorney, or law firm. You may want to hire a professional before making any decision. WalletHub does not endorse any particular contributors and cannot guarantee the quality or reliability of any information posted. The helpfulness of a financial advisor's answer is not indicative of future advisor performance.
WalletHub members have a wealth of knowledge to share, and we encourage everyone to do so while respecting our content guidelines. This question was posted by WalletHub. Please keep in mind that editorial and user-generated content on this page is not reviewed or otherwise endorsed by any financial institution. In addition, it is not a financial institution’s responsibility to ensure all posts and questions are answered.
Ad Disclosure: Certain offers that appear on this site originate from paying advertisers, and this will be noted on an offer’s details page using the designation "Sponsored", where applicable. Advertising may impact how and where products appear on this site (including, for example, the order in which they appear). At WalletHub we try to present a wide array of offers, but our offers do not represent all financial services companies or products.
Did we answer your question?