There is no single correct answer to the question of how much umbrella liability insurance you should consider.
As you determine the amount, think about:
- The nature and scope of the your organization's operations.
- The strength of your risk management program.
- The judicial climate in the jurisdiction where your organization does business.
- Your organization's large claims history.
- The trend toward large awards against similar organizations, both regionally and nationally.
- Your organization's ability to fund unlimited catastrophic loss from its own treasury.
- The cost and relative value of insurance.