Umbrella insurance is extra liability insurance. This policy works to assist in protecting you from major lawsuits and claims and consequently, it aids in protecting your assets and future. It will do this in couple ways:
1. Offers extra liability coverage above the limitations of your auto, homeowners, and boat insurance policies. The protection is made to kick in as the liability on those additional policies is exhausted.
2. Offers coverage for claims which might be excluded by additional liability policies which include: libel, false arrest, liability coverage upon owned rental units, and slander.
What is An Umbrella Policy?
Still somewhat puzzled about what an umbrella policy covers? The policy offers coverage for damage to property, injuries, specific lawsuits, and additional personal liability situations.
Bodily Injury Liability – will cover the expenses of damages to an additional individual’s body. Instances involve the expense of medical bills and/or liability claims as a result of:
- Injuries to additional parties because of a severe car accident where you’re at fault
- Injury caused to other people as a consequence of your dog
- Injuries that are sustained by a guest within your house because of a fall
- Injuries that are sustained by a neighbor's kid who falls while playing in your yard
Property Damage Liability – will cover the expense of loss or damage to an additional individual’s tangible property. Instances involve the expense related to:
- Damage to cars and additional property as a consequence of a car accident in which you’re at fault
- Damage claims that are incurred as your pet tears a friend's priceless rug to shreds
- Accidental damage to property at school caused by your youngster
Rental Unit Owners – this helps in protecting against liability which you might face as a landlord. Instances involve the expense of liability claims as a consequence of:
- Somebody tripping over a crack in the sidewalk of your rental property, then suing you for damages
- A tenant's dog biting somebody and you being held responsible for their injuries.
Umbrella insurance coverage is also offered if you’re sued for:
- Injurious spoken statement known as slander
- Injurious written statement known as libel
- False imprisonment, detention or arrest
- Malicious prosecution
- Mental anguish/shock
- Additional personal liability circumstances
Umbrella policy rates will be lower than you might think. With a quick phone call, you’ll obtain the protection needed and peace of mind.