personal liability umbrella insuranceYou may have heard how life can change in the blink of an eye, but you probably don’t anticipate monumental life changes happening to you. One thing of which you can be assured is that sometimes unexpected situations can strike in enormous ways, stripping you of your financial security and leaving you in financial ruins if you don’t have the right type of insurance protection to safeguard your assets. Are you aware that umbrella insurance offers low cost asset protection so you won’t get soaked financially?

What is Umbrella Insurance? 

Umbrella insurance, otherwise known as excess liability insurance, is coverage that is designed to provide protection above and beyond what is exhausted under the liability limits on your primary insurance policy, such as auto or homeowners. Sometimes liability situations can occur that are gargantuan in nature and the lawsuits may render legal judgments that are in excess of $1 million.

Imagine having $300,000 limits of liability on your auto insurance policy when you cause an auto accident that results in catastrophic injuries and damages. You are now faced with a judgment of $2 million and without an umbrella, you will be held financially responsible for the balance of $1,700,000. Even if you don’t have this type of money, which most people don’t, your wages could be garnished, savings wiped out, and investments depleted. Everyone needs an umbrella!

Some Typical Characteristics of An Umbrella Insurance Policy

  • In order to have an umbrella policy, you must have a primary policy in place (home, auto, business, etc.) with a certain amount of liability coverage. The amount required for the primary policy may be the minimum required limits or more. Discuss this with your local N.C. independent insurance agent.
  • Umbrella insurance is NOT just for the wealthy people with lots of assets and money. Even if you don’t have a job and are found liable for an accident with damages in excess of the specified limits of liability, your future “estimated” wages could be garnished.
  • Usually, a single umbrella policy will cover all of your family members, residing in your household.
  • Umbrella insurance is NOT expensive relative to the coverage you get.
  • If you insure a watercraft, motorcycle, or ATV, your umbrella policy may provide additional liability coverage on top of those policies as well. Be sure to inquire with your local N.C. independent insurance agent to verify your coverage on any of these vehicles.
  • Weigh up the total value of your assets (home, car, inheritance, savings, investments) along with potential loss of future income to help determine how much coverage you may need under an umbrella insurance policy.

Don’t Get Soaked; Call Us Today  

It is always recommended that you call us with any questions regarding any insurance policy you have as well as information pertaining to umbrella insurance. Umbrella insurance can play a large role in your future so call us at 866-869-3335 to find out how much umbrella insurance is right or you. Don’t get soaked; grab an umbrella today!