Finally, a weekend away from the kids! Time to relax and enjoy some piece and quiet, but while you’re sipping a margarita by the pool, your three teenagers have taken it upon themselves to throw a party no one will forget – at your house. Alcohol and underage teenagers never mix well, especially when one of them decides to jump off the roof of your house and into the swimming pool. Next thing you know, the parents of that intoxicated teen are suing you for negligence – and you’ll be paying a lot for it.
What is Umbrella Insurance?
With a personal umbrella policy, you can protect your income and assets against unexpected lawsuits with liability coverage in excess of your existing policies. A personal umbrella policy acts as an extra layer of coverage on top of your existing policies, protecting you in the event that the payout is higher than the max liability limit on one of your policies (such as auto, home or boat policy).
For example, let’s say you were in a car accident and your policy has a limit of $2,000,000 for bodily injury or property damage per accident. If you were found to be at-fault for this accident, and were sued by the other driver for $3,000,000 dollars – you would have to pay out of pocket for the remaining $1,000,000. However, if you have an umbrella policy in place, this policy would pay for the remaining $1,000,000 instead.
An umbrella insurance policy might sound like it’s something that’s only useful on a rainy day (pun definitely intended), but it comes in handy in a number of scenarios, including:
If you are sued for accidentally damaging or destroying someone’s property, umbrella insurance can help pay for these costs
If you are sued for accidentally injuring someone, a personal umbrella policy can protect you against the financial costs and payout
If you are charged with another type of costly lawsuit, a personal umbrella policy can cover costs in excess of your existing liability coverage, as well as attorney fees
How Much Will It Cost?
An umbrella insurance policy is more affordable than you think, with some $1 million dollar policies costing as little as $20 a month.
Do you need an umbrella insurance policy? Contact one of our licensed brokers today by calling 1-888-298-7343 to discuss your options and get a quote that fits your needs.