#1- I cannot have umbrella follow form wording over employers liability, if I don't have these two policies with the same broker.
This is a MYTH! The workers compensation employers liability policy being placed by a different broker does not preclude umbrella from covering employers liability. The umbrella policy is usually able to respond to policies across multiple carriers.
#2- It can take the place of general, auto or boat liability coverage
This is a MYTH! Umbrella insurance is an additional coverage that you can purchase. It will increase your current limit on liability in order to provide more protection for yourself or your business. Umbrella insurance works only if it's added onto general liability or auto policy so, be sure not to buy this without already having the necessary liability coverage by another plan first.
#3 - If the claim is filed and paid out, the first policy used would be your umbrella liability insurance.
This is a MYTH! Your umbrella policy is your secondary coverage. You cannot obtained if you don't have a primary insurance and it does not kick in until all of your primary insurance has been exhausted.
If you have any questions feel free to leave your comments below!
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