We’ve all heard the over-used saying, “it’s better to be safe than sorry.” And, basically, that’s what insurance is all about! Let’s face it, no matter how cautious you are, the unexpected will happen from time to time. Your dog might nip the neighbor. Your teenaged driver might clip a pedestrian with his car. A dinner party attendee might slip on the stairs in your home. In all these unfortunate scenarios, you would likely be held liable for the cost of damages inflicted on others. It’s vital to make sure you’re totally covered in case of accidental injuries to other people, destruction of their property, lost wages they might face, and more.
You may be asking yourself, “Wait, isn’t that why I have insurance in the first place?” But the fact is, there is often a gap between what a policy covers and the amount a policy-holder is held liable for in an accident. (Sometimes this gap can equate to hundreds of thousands of dollars!) In this way, it can take just one serious accident and lawsuit to put everything you own at risk. Luckily, though, it also only takes one inexpensive umbrella policy to ensure that you and your family are protected.
Key information most people don’t realize about umbrella insurance:
- Personal umbrella policies usually provide between $1 million to $5 million in liability coverage.
- An umbrella policy does not stand alone; it serves as an addition to your existing policies. You will need to meet the specifications laid out by your insurance company, such as holding an auto policy with a certain coverage level, in order to properly utilize umbrella insurance.
- In most cases, a single umbrella policy will cover every family member living in your household.
Basically, umbrella policies provide additional, affordable liability coverage on top of what your existing, standard policies offer. In the case you or a family member are held liable for a serious or expensive accident, you will wish that you had an umbrella policy!
If you want to learn more about the benefits of umbrella insurance, or would like to explore policy options, contact your DSI agent at (888) 337-9322.