The personal umbrella policy has its name because it is an umbrella that is more than the personal liability policy. Most people with umbrellas utilize the plan to get additional protection for both their automobile liability and homeowners liability coverages. If you possess a $1 million umbrella policy, you will get $1 million in protection on top of your auto or homeowners liability.
Always remember that it is not a property policy but a liability policy. Even if your home insurance policy has two main coverage types, the umbrella will only apply to the coverage's responsibility portion. If your home does not have enough amount of insurance and you made a large claim, you will not receive benefits from the umbrella policy. If someone experiences injury on your property and sues you, the umbrella policy will step in when you exhaust the personal liability limit of your home insurance coverage.
People usually consider an umbrella policy as optional and not necessary. Even if they know about the existence of umbrellas, a lot of people still do not choose them because they think that a huge loss may never occur in their lives. Unfortunately, it may be too late to buy coverage if something unforeseen happens. Umbrella policies will typically provide you with a lot of liability coverage for a relatively small premium, especially compared to buying auto or property liability separately.
Also, remember that there are some ways you can save on insurance premiums if you buy an umbrella policy. Since a lot of insurance companies offer discounts for multiple policies, you will find that the cost of an umbrella policy can be offset by the discount you receive for having one. If you purchase an umbrella policy, you may get a discount that is equal to the umbrella's entire cost. Because of the minimal cost and great potential benefit, make sure that you invest in an umbrella policy.
At the Brad Spurgeon Insurance Agency Inc. we take pride in making sure our clients are well protected at prices they can afford. To learn more about how we can help you please contact our agency at 1-409-945-4746 or Click Here to request a free quote.