Umbrella Insurance is designed to give you extra liability coverage that extends beyond the limits of your other insurance policies, also known as the underlying policies. It can provide $1 million or more in additional liability limits. Just one umbrella policy is needed to increase the limits of each of the other policies, for example, home, auto, RV, and so on. For example, when an auto insurance policy has a $250,000 limit and you injure another person in an accident, the medical expenses and lawsuit could cost much more than that. Having the added protection of an umbrella policy gives you another $1 million or more to put toward those costs.
Why do I need Umbrella Insurance?
Insurance policies have limits to help keep premiums at an affordable rate. These limits also help insurance companies to be able to meet their financial responsibility when a client has a claim and needs payment. Sometimes a claim can reach beyond the limits in the policy and additional costs must be paid out of pocket by the insured or go unrecovered. This is when an umbrella insurance policy would provide the extra coverage that the underlying policy can not. Having an umbrella policy gives you an additional $1 million or more to put towards claims that exceed the limits of your other policies.
Umbrella Insurance can also provide coverage for situations that might be excluded from other policies such as being accused of slander or libel. They can also be purchased for business or commercial purposes.
Having an Umbrella Insurance Policy is a cost-friendly way to protect yourself from high-costing claims in the future. Even if you think that your current policy limits are high enough, an umbrella policy is always a cost-effective way to ensure you have extra protection.
Do you have questions or are you ready for an umbrella quote? Give us a call at 580-772-7101 or click here to fill out our online quote request form!
Additional Resources for Personal Insurance: Check out these links below to learn more about each of these coverages!