Umbrella Insurance
What is umbrella insurance?
Umbrella insurance provides an additional layer of liability protection that goes beyond what your home and/or auto policies cover.
We know accidents happen, but what happens if you get sued for more than your current liability limits? This is where umbrella insurance kicks in.
What does it cover?
Umbrella insurance can extend protection for personal and auto liability losses, including:
Lawsuits arising from property damage or injury
Legal defense costs once your underlying policy limits have been exhausted
Do I need umbrella insurance?
It’s suggested to purchase umbrella insurance if you:
Own property
Have high savings or high income
Have children, teens or students away at college
Own a vehicle or multiple vehicles
Use social media, participate on a board or HOA
Rent out property to tenants
Invite guests to your home
Without an umbrella policy, you could lose your home and savings in a catastrophic claim. In today’s litigious society, lawsuits can happen to anyone. You’ll want to make sure you have that extra protection.
What’s an example of when umbrella would kick in?
Consider this scenario:
A car accident occurred where you missed a stop sign, and you are found to be at fault. The other party is a dentist and got injured, requiring hand surgery after the accident. The dentist is unable to perform his work duties and sues for his medical bills and loss of income. Sometimes it isn't about the severity of the crash, but about who you are involved in an accident with.
Your underlying auto policy pays up to $500,000 per accident. The dentist sues for $650,000. Who will cover the remaining bills? Your umbrella policy will.
How can I get umbrella insurance?
You may need to meet certain eligibility requirements to purchase an umbrella policy.
You must have primary renters, homeowners, or condo insurance with a minimum of $300,000 personal liability
An auto insurance policy must have a minimum of 250/500/100 limits (some carriers require higher limits of 500/500/100)
Claim history and driving history must also meet company requirements
