While umbrella policies cover you in case of personal injury or property damage, that’s not all. Some umbrella policies will also cover you in case of events like false arrest, false imprisonment, defamation, invasion of privacy, malicious prosecution, eviction, wrongful entry, and more.
A lot of the time, umbrella coverage can be bundled with your current auto insurance and home insurance provider. This will make it easy to use in case you need it. An insurance expert will help you go over options so your insurance all works together well.
In the world we live in, lawsuits continue to be a reality and courts are awarding larger amounts of money than ever. Mainstream policies have a limit on how much liability insurance they are willing to pay out, which makes umbrella insurance a smart investment.
How can I tell if I need an umbrella insurance policy? Simply add up your assets and compare that figure to the liability coverage in your home and auto policies. If the assets are greater than the coverage, that means you are at risk and should consider umbrella insurance, according to experts.
Just like with any other kind of policies, umbrella coverage can have some things it won’t cover depending on the policy (such as punitive damages or business endeavor claims). An insurance expert can help you go over the policies to find the coverage that’s right for you.
Don’t think that only businesses have to worry about umbrella insurance because the amount can reach as high as $10 million. It’s easily possible to be in a car accident or to suffer a homeowner’s loss that exceeds the value of your policy. Umbrella insurance fills in the gap.
In an accident, you can’t control who you might injure, making umbrella insurance all the more important. If you injure, for example, the CEO of a large company, you will owe a great deal of money for lost wages.
You can be liable for injuries on your property even if they’re uninvited; for example, if neighborhood kids jump your fence while you’re out of town and hurt themselves in your pool. This kind of unexpected occurrence is the exact kind of thing umbrella policies protect against.
Commercial umbrella liability insurance policies will add an extra layer of financial protection for your business. This type of insurance will protect your business from financial costs which may arise if you or the business is ever sued.
One way to save money on umbrella insurance coverage is to ask about any available discounts. In addition to multiple policies, discounts may be available for membership in certain organizations, such as AARP, AAA and the American Bar Association.
Even middle-class homeowners are vulnerable to lawsuits these days and can benefit from the protection afforded by umbrella insurance. Throughout the course of everyday life, unexpected things can happen for which you may be found negligent.
Is it true that umbrella insurance is sold beginning in amounts of $500,000 or more? Check with your insurance agent, but typically, umbrella insurance begins at $500,000 and some agencies sell personal policies for up to $10 million. However, the cost for a million in liability coverage – or more – is much less than most people would guess.
Do you have a swimming pool or hot tub? While you hope nothing goes wrong with these, the truth is that you can be legally liable for any injuries or accidents that happen around them, but an umbrella policy will help make sure you’re covered just in case.
Umbrella liability policies are not only for homeowners; business owners can also avail themselves of this particular type of protection. As long as you have customers coming through your doors, you can be held liable for any injuries that may happen.
Did you know that half of all small businesses in the country are home-based? It’s important to consult your insurance expert if you start up a home-based business because of increased liability risks of customers visiting your home. An umbrella policy can protect you from lawsuits due to accidents or injuries – from a slip and fall to an ugly encounter with your dog.
Both homeowners and small business owners are required to keep their property safe, and failure to do so can result in serious legal issues. But what about things beyond your control like the weather? Unfortunately, that does not matter. An umbrella liability policy will protect you against lawsuits that exceed the coverage of your underlying insurance policies.
If you earn more than $100,000 per year or have more than $1 million in assets, it is a good idea to invest in an umbrella policy of more than $1 million, since your coverage should be at least the same as your net worth.
Because a personal umbrella policy is like a type of excess insurance, it is relatively inexpensive compared to traditional home or auto insurance.
Did you know that umbrella insurance policies cover certain incidents not covered by many homeowners’ policies? This would include, for instance, damage caused by your dog.
Whether you are moving or going on a road-trip, an affordable traveler’s umbrella policy can help to protect you in the event of an accident. This type of extra liability insurance can also be customized for short or long term policies.
In addition to covering damages that may be awarded to a plaintiff, an umbrella insurance policy will also pay your legal fees if you are taken to court. There are different levels of coverage, so discuss your situation with your insurance agent.
The more active and involved your children are in the community, the better sense an umbrella insurance policy makes. What with carpools, friends of your children visiting, or kids just playing in the yard, the chance for injury is greatly increased. Protect yourself from damaging litigation with an extended liability policy.
If you are having your home remodeled, you may want to consider adding an umbrella liability policy to your homeowner’s insurance to protect you in the event of an accident. Even if the contractors have insurance, that does not mean action cannot be taken against you if someone is hurt.
One of the main advantages of having umbrella insurance is that it can protect you from all sorts of unfortunate circumstances, such as having your assets seized or even losing your home.
How is umbrella insurance different from excess insurance? Excess insurance only goes into effect when all other policies are exhausted, but umbrella insurance will fill in current insurance coverage gaps for wider and more accessible coverage.
If you enjoy recreational activities – like boating, traveling in your own RV or even skiing – it is a good idea to carry extra liability umbrella insurance. In the event of an accident, this type of insurance can protect you against a lawsuit.
There are two basic steps involved in determining whether or not you need umbrella insurance. It’s recommended that you first add up your assets (the worth of your home, bank accounts, stocks, and other assets) and then see how much liability coverage you have on your homeowners and auto policies.
