What is Umbrella Insurance?
You never know when it might rain. So just like the name implies, this type of policy acts like an umbrella, providing protection against a wide range of potential financial dangers, and unforeseeable mishaps.
Umbrella insurance is a form of liability insurance, therefore it does not cover:
- Your own medical expenses.
- Losses to your property.
- However, what exactly is covered by your umbrella policy depends on how you decide to set it up. In most cases, umbrella insurance protects you from:
- Injuries you cause in a car accident
- Injuries someone suffers on your property
- Property damage you cause in an accident
- Property damage your pet causes
- Property damage a dependent or child causes
- Attorney fees and other legal costs if you’re sued
Yes, your existing insurance may protect you to an extent, but an umbrella policy goes much further. Since the terms of umbrella insurance policies will vary, depending on insurance companies, and your own personal needs, a qualified insurance agent is the best person with whom to discuss the benefits, restrictions, and coverage from each carrier they represent.
Aren’t people with a lot of assets the only ones who need umbrella insurance?
Actually, anyone with a job who expects to keep the income they earn, could benefit from having an umbrella insurance policy.
What would happen, for example, if someone made a delivery to your house, slipped on a sidewalk recently wet by your sprinkler system, and suffered severe head injuries from the fall. They will sue you, of course.
Your homeowners insurance kicks in, and pays up to its maximum limits. But the jury finds you are responsible for an extra $500,000 over your homeowner’s limits.
Umbrella insurance covers the amount that exceeds your homeowner’s coverage, usually up to $5 million-sparing you from a financial nightmare, along with paying the attorney to help you survive it.
The Peoples First Insurance Difference
You may think you want the least expensive insurance you can find, but realize you may not be getting everything you bargained for …
… While most insurance products are similar in price and function, insurance providers are very different when it comes to structuring a policy that actually covers you. So if you’re at all concerned for your financial well being, you should investigate what you are offered carefully, and consider a relationship with a reliable advisor. Because, unfortunately, there’s no such thing as a one-size-fits-all insurance policy. We’re your neighbors. We protect people we know and care about and that means we always look for ways to protect you better, including carefully choosing the insurance companies we represent to be both affordable and responsive.
Click on the quote request button now, or give us a call, and let the professionals at Peoples First Insurance help you forge the strongest shield possible to help you protect the things you care about most.