by Anna Smith, CISR
Umbrella Insurance is more commonly referred to as a ‘peace of mind’ policy. What it’s designed to do is provide additional liability coverage after you have exhausted your liability limits on the other personal insurance policies you already have in place.
We all have unfortunately heard of the nightmares that can occur in relation to a claim for your vehicle and/or home owner’s insurance if you do not have adequate liability limits in force during the time of a claim. What the umbrella coverage will do is give additional liability coverage should you exceed your current limits in the event of a loss, up to the amounts of coverage you have set up for the umbrella policy. This can include (or exclude, depending on the companies guidelines) your personal vehicles, primary residence, seasonal home, motor homes, watercraft, motorcycles, off-road vehicles, golf carts, and even rental properties provided they are insured in your personal name and not through a business entity. Most companies will exclude business and professional services under the umbrella policy; however, you can get a business umbrella policy for such purpose!
Each company that writes the umbrella coverage has their own underwriting requirements that need to be met in order for your umbrella coverage to take effect. Please contact your Agent for more details and get a quote, you may be surprised to see how little they can cost verses the amount of coverage you can get in place!
About Anna Smith
Anna has worked at MAX for the past 6 years while having over 9 years of experience in the insurance industry. When she’s not at work, Anna enjoys spending time with her daughters and pets. They keep her busy from morning until evening, but she loves their time together. Anna also enjoys cooking for friends and family, and shares many new recipe creations with her co-workers.