When do I need umbrella insurance?
There are specific instances where it's more beneficial to have umbrella insurance. These are instances where there is a greater risk of a liability claim. Or you have more to lose if you have legal liability issues. Umbrella insurance for high-net-worth individuals is perhaps the most common example. Here are some situations where it makes sense for you to invest in an umbrella policy:
- You have a pool, trampoline, or other potentially dangerous items on your property
- You own rental property
- You coach kids' sports team
- You own a small business
- You participate in activities where you could injure others
- You have assets or investments to protect
- You want the peace of mind of knowing you have extra coverage
How much does an umbrella insurance policy cost?
Personal umbrella insurance costs are more affordable than most realize. The cost of the policy depends on how much coverage you need. It depends on the type of coverage and where you live. The level of risk you pose is also a consideration. The more the policy has to cover, the more it will cost.
Are you interested in adding this coverage? Performing an umbrella insurance cost comparison is the best way to find the best rates. Speak with our advisors today to see if umbrella insurance is right for you.
Does umbrella insurance cover property damage?
Umbrella insurance doesn’t cover damage to your personal property. It will, however, cover you if you cause damage to the property of a third party.
For example, you take your ATV out for a spin and accidentally crash into your neighbour's garage. An umbrella policy would cover the damages that are above and beyond your auto policy limits.
Personal excess liability insurance vs umbrella coverage – what’s the difference?
Umbrella and excess liability coverage are thought to be interchangeable. But, they are different types of coverage. Excess liability coverage provides you with higher liability policy limits for your existing plan. But, they only cover the risks already in your policy. Umbrella policies provide you with additional coverage. They also provide coverage for additional risks that may not be covered in your current policy. The risks covered can vary by insurer.
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