Personal umbrella insurance provides reassurance and protection against lawsuits and claims that exceed your limits on your other insurance policies. An umbrella policy covers liability expenses that go beyond the limits on your existing automotive, renters, watercraft, homeowners, motorcycle and/or other personal insurance policies. An umbrella policy acts just like an umbrella, sitting on top of your current liability policies.
Homeowners, automotive, and other personal insurance policies have set limits-a maximum amount they will pay on a single incident. If you are sued or a claim is settled against you for more than your maximum limits allows, you are personally liable for the remainder balance. An umbrella policy will cover the rest of your personal liability up to the umbrella policy limits.
Personal umbrellas gives you the protection of your assets from being seized or attached in the event you are held liability for paying a claim or lawsuit that exceeds your other insurance policies limits; a policy like this can prevent a judgment against you that can eventually lead to a lien on your home or business.
An umbrella policy is used only when you have exceeded the liability limits on your other personal insurance policies, the premium are normally affordable. If you purchase your umbrella policy from the same insurance provider you use for your homeowners, auto policy, renters, or other personal insurance policies, you normally get a better rate.
An umbrella policy normally comes in limits starting at $1 million; and can go up to a $5 million dollars. In order to have an umbrella policy, your limits of liability on your other personal insurance (auto policy, homeowners, renters, or other personal insurance policies) has to be set at a certain amount.
If you are found liable for a claim, you not only have to worry about the first lawsuit but the other lawsuits that follow.
Our agents at the Morris & Spradlin Insurance Group, would love to review your policies with you to make sure you have adequate coverage and that you understand your liability limits. We have several different carriers that will write mono line personal umbrella policy along with carriers that offer discounts to package your policies together. At Morris & Spradlin insurance Group, we are committed to making insurance easy to understand and easy to buy. Give us a call and let us assist you with all your insurance needs.