Umbrella Insurance
Liability insurance is commonly used as an additional layer of protection in the event that you are at fault for an accident. For information and examples of how this insurance policy protects you, please see below:
Why Consider Umbrella Insurance?
While a personal umbrella insurance policy is optional, it offers valuable extra protection. For example, if you’re at fault in an accident that causes significant injury, and your auto policy covers only $250,000, but the injured party sues for $1 million, your umbrella policy insurance can cover the remaining $750,000, up to your policy limit.
Real-Life Scenarios for Umbrella Insurance:
- Accidents on Property: A swing set accident causes serious injuries.
- Pool Incidents: A guest suffers injuries around or in your pool.
- Property Damage: Burning leaves causes a fire damaging neighborhood homes.
- Boat Accidents: You accidentally crash your boat into another boat.
- Teen Driver Incidents: Your teen driver hits a pedestrian.
- Home Accidents: A broken step leads to an accident involving your babysitter or guest.
- Dog Bites: Your dog bites someone, and you are sued.
- Defamation Lawsuits: A negative online review results in a defamation lawsuit.
Coverage Provided by Umbrella Insurance
Personal Umbrella Policies typically cover:
- Bodily Injury: Medical costs, lost income, and funeral expenses for injuries caused to others.
- Personal Injury: Claims related to false arrest, invasion of privacy, libel, slander, or defamation.
- Property Damage: Costs associated with physical damage to someone else’s property, including loss of use.
