AICPA umbrella liability insurance is a specialized insurance policy designed to provide additional coverage for accounting professionals beyond the limits of their primary professional liability insurance. The umbrella policy offers a safety net, covering claims that may exceed the limits of your primary coverage, helping protect you from large, unforeseen liabilities that could potentially jeopardize your practice.
For CPAs and other accounting professionals, the risk of lawsuits or claims is an ever-present concern. Standard liability policies may not always offer sufficient coverage in case of catastrophic events or lawsuits. This is where umbrella insurance steps in, covering a broad range of potential legal expenses, settlements, and judgments.
How It Works:
The AICPA umbrella liability insurance functions as an extra layer of protection over your existing policies. In the event that a claim exceeds the limits of your primary professional liability insurance, the umbrella insurance kicks in to cover the additional costs, ensuring that you’re not financially burdened by claims that could otherwise cause significant damage to your practice.
The AICPA umbrella policy is tailored specifically for AICPA members and often includes benefits such as:
- Protection against lawsuits and claims related to professional services.
- Coverage for defense costs, settlements, and judgments.
- Expanded coverage for additional business risks that may not be included in standard policies.
In summary, AICPA umbrella liability insurance is an essential tool for accounting professionals looking to safeguard their practice from potential financial disaster due to high-cost legal claims. It ensures that you have the right coverage when the unexpected happens.