You live a busy life, and you want coverage for all of it. That’s what an umbrella policy is designed for. So, it covers a lot, but what exactly does an umbrella policy cover?
Umbrella Insurance Explained
Umbrella insurance is like regular insurance, but bigger. If you know what homeowners, auto, and boat insurance are, you’ll have the basic coverage of an umbrella policy down.
What does this mean? Well, an umbrella policy doesn’t cover something new but expands on your typical homeowners, auto, and boat insurance policies. It goes above and beyond these typical policies for a bigger and more protective policy.
Umbrella Insurance Coverage
Umbrella insurance can provide coverage for four main categories, which include injuries, certain lawsuits, property damage, and personal liability situations, like your average other policy. However, it goes further than that in two ways:
- Umbrella insurance will keep you covered even when your typical homeowners, auto, or boat insurance policies are exhausted. Otherwise, you would have to cover the remaining expenses yourself.
- It also will likely cover issues, expenses, and claims not covered by a standard policy. This includes false arrest, libel, slander, etc.
You’ll also receive coverage if you’re sued for:
- False arrest, detention, or imprisonment
- Malicious prosecution
- Shock/mental anguish
There are only a few instances that umbrella insurance won’t cover:
- Your injuries
- Damage to your personal property
- Intentional criminal action causing damage to someone else or their property
- Liability you assume under a contract
Let’s explore a few examples to give you a better idea of umbrella insurance coverage:
- You’re having a house party, and someone trips and falls down your staircase. They have a broken arm and are now suing for the cost of their injuries and legal costs. Let’s say the total cost was $100,000. Your homeowners policy has $75,000 in liability coverage—so you’re left with $25,000. Your umbrella policy would cover the rest, so you’ll pay nothing out-of-pocket.
Here for You—Call Secure Insurance Group
We’ll explore the ins-and-outs of umbrella insurance with you to ensure you get the policy you need. To learn more, call Secure Insurance Group at 1-877-871-7328.