Your standard policies have a limit. This includes auto insurance, building insurance, and everything else that you have in place. Once the maximum has been reached, you would be expected to pay for everything else out of pocket. If there is a major incident, this could be the downfall to your business.

It’s good business practice to have excess liability and insurance because of the additional coverage that it provides. You may have umbrella insurance to extend to higher limits on your policies but even they have their limits. The excess liability insurance provides that extra protection in the event of an unexpected event.