Personal umbrella insurance

A personal umbrella policy extends the bodily injury and personal damage liability limits of your home or auto policies. Consider the following scenario:

Your home insurance provides $300,000 of liability coverage. A serious accident happens on your property, and you’re sued for $1.3 million resulting in a judgment against you.

Your insurance pays up to $300,000 for a covered accident, but you hold responsibility for paying the remaining $1 million.

If you had $1 million of coverage under an umbrella insurance policy, you’d be covered with nothing out of your pocket (other than your monthly premium). Instead, without the additional protection from a personal umbrella policy, you’re looking at the possibility of needing to liquidate your assets to pay the remaining $1 million in this example.

Talk to an agent to find out what the best level of coverage is for your situation.