Umbrella insurance, is meant to help protect you from large and potentially devastating liability claims or judgments. Personal umbrella coverage comes into play when your underlying liability limits (such as from a homeowners or auto insurance policy) have been reached.
Umbrella Insurance provided by Thomas Insurance Agency .
Protecting your family and assets is a top priority, which is why people have insurance. Personal umbrella insurance is a type of insurance designed to add extra liability coverage over and above another insurance policy, such as auto or homeowners insurance.
Get that additional layer of protection
Understanding how Umbrella Insurance works
To understand how umbrella insurance can help, consider the following scenario. If a driver runs a red light and accidentally hits another car, there might be significant damage to the vehicle and several people might be injured.
With car repairs totaling $50,000 and the treatment of the injuries eclipsing $500,000, the driver at fault may be liable for expenses that go far beyond the coverage limits of their insurance. An umbrella insurance policy will pick up the additional liability costs beyond the limits of car insurance coverage.
Why Umbrella Insurance may be needed ?
To best answer that question, consider the assets you own, and the role they play in fostering your financial security. When thinking about assets, there are obvious items that come to mind: your car, house, investment accounts, and checking and savings accounts. But more broadly, even your projected stream of future income can be viewed as an asset. In fact, it may even prove to be the most valuable asset of all.
In the event that you become the target of a lawsuit for a substantial sum of money, but don’t have enough insurance to cover the damages that may arise, the expenses would have to come out of pocket. This could create a significant financial hardship. An umbrella policy can forestall the prospect of financial ruin due to an unintentional misstep or an unforeseeable accident.
Check with us to know whether you need additional protection, we can help ensure you find a cost effective umbrella insurance suiting your needs.