Personal umbrella insurance provides additional protection when you need it most. Your umbrella policy extends your liability limit in the event of a lawsuit resulting from a liability claim. Essentially, it’s a protective layer of insurance over what you already have. We represent a number of excellent companies – here are a few links for additional information:
You already know you can count on your insurance company to provide valuable insurance protection for your home, your car and your personal property. But there are times when your needs may extend beyond your policy limits. For example, what would happen if…
- A neighbor was injured in your swimming pool?
- A passerby tripped and broke her leg on your property?
- Your dog’s bite proved worse than his bark?
- You were in a car or motorcycle accident and were sued for $1 million?
These are just a few of the circumstances in which umbrella coverage could prove a valuable addition to your insurance plan.
Unfortunately these days, anyone can be sued. And million dollar judgements, once a rarity, have become all too common. Even if the court decides in your favor, you may still have to pay legal fees and court costs.
Adding an umbrella policy is an inexpensive way to add important value to your insurance coverage and protect yourself against potentially catastrophic financial burdens or losses.
An umbrella policy even extends umbrella coverage for your motorcycles and recreational vehicles, such as snowmobiles, ATVs, golf carts and jet skis, for an additional premium.
How an Umbrella Policy Extends Your Coverage
How does a personal umbrella policy work? It’s simple. Suppose someone is seriously injured on your property and wins a $750,000 lawsuit against you. Your primary insurance policy (in this case your homeowners policy) would cover the damages – but only up to the policy’s maximum limits. If that limit is $300,000, you are left with a hefty sum to pay out of your own pocket. But if you were covered by a personal umbrella policy, your umbrella coverage would pay the remaining $450,000.