One thing in life is certain – and that is, UNCERTAINTY! For instance, a visitor could fall down the stairs at your house. Your dog could bite your neighbor. Your teen driver could hit someone on a bicycle. And you could be held liable for damages. Good thing you have insurance, right?
But, does your current home or auto policy have enough coverage? What if your policy covers $300,000 of liability, but a lawsuit is judged for 1 million? How will you cover the remaining $700,000? It could come from your assets, such as your home, or future assets such as wages or inheritance. The truth is, one serious accident could cost you everything you own. It only takes an umbrella policy to help protect it all!
A few things to know about umbrella insurance:
· Your umbrella policy typically covers all of your family members who are residents of your household.
· Personal umbrella policies usually offer $1, $2, $3, $4 or $5 million of liability coverage. Be sure to take in to account your net worth when choosing coverage, should you be sued for everything you have.
· An umbrella policy is not a stand-alone policy: your insurance carrier will require you to meet certain qualifications, such as having an auto policy with certain level of liability, in order to purchase umbrella insurance.
· Even if you have umbrella coverage, your car or home insurance is your first line of defense; be sure to get umbrella insurance to match what you think you would need in case of an unforeseen incident.
Essentially, an umbrella policy gives you excess liability coverage on top of what your other policies provide. *Umbrella coverage also gives you liability coverage in instances where other policies don’t, for example, renting a boat or driving in another country. If you are not sure about umbrella coverage and how it can protect you and the life you have built, please give us a call here at Snipes Insurance – we can help you!