Personal Umbrella Insurance

It doesn’t take long to spend hundreds of thousands at a hospital and you don’t need to be a millionaire to be sued like one. An umbrella policy provides liability over and above your personal auto, homeowners, recreational vehicle, watercraft and other such policies listed when applying.

When a policy such as your auto insurance is exhausted due to the severity of a claim the umbrella policy steps in to pay up to the limit on the policy usually $1 million or higher. Without such a policy the payment after the policy limits are used comes from your personal assets and future earnings.

Examples:
A neighbor’s child is climbing a tree in your yard and falls creating a settlement well above $300,000.

A car in front of you stops short and you rear-end them injuring the passengers. The medical bills and lost wages well exceed $700,000. Your auto policy stops at the limit of $300,000. With the umbrella the remaining $400,000 will be paid with insurance with out the coverage it will come from personal assets and your future income.

Many financial experts call this the best buy in insurance providing a million dollars in liability coverage for often less than $250 a year.