Umbrella Insurance

Umbrella Insurance Policies

A policy type known as Umbrella insurance provides an extra level of coverage for the policyholder. An example would be adding an extra $1 million of coverage for your auto insurance and, as a matter of fact, this happens to be the most common choice made for umbrella coverage. Another common example would be a boost to one’s normal homeowners’ liability coverage.

While approximately 90% of claims originating out of umbrella insurance are due to car accidents, these kinds of policies also protect against accidents occurring at one’s home too. For example, if an individual were to fall in one’s living room or down the stairs into the basement and he or she decides to take out a lawsuit, this kind of a policy would cover such an incident. Many property owners choose umbrella policies if they have risky items on their property such as a trampoline or water slide for their pool for example. This kind of a policy alleviates one’s stress over the possibility of injuries to children or adults on one’s property.

Many would make the assumption that a million dollars worth of coverage is excessive and that an Umbrella policy would be unnecessary. However, one could be quickly disabused of that notion should one be sued for an injury in one’s home or car.

It is important to keep in mind that insurance companies mandate precise levels of coverage for the home as well as within the auto insurance policy before an umbrella policy would be approved.

Umbrella insurance adds another level of protection. Learn how it can benefit your needs today.