Don’t Let an Uninsured Misfortune Rain on Your Parade: Grab an Umbrella (Policy)

You think you’ve got all the insurance coverage you need: homeowners, auto, medical and life. But then you get a call from your boss — that funny meme you made at the office holiday party has gone viral and now you’re getting sued by a coworker! While you’ve got lots of insurance, none of it covers this. That’s where an umbrella policy can come in handy. When unexpected things happen that fall outside the parameters of typical liability coverage, an umbrella policy can keep you from getting financially deluged.

What Is an Umbrella Policy?

Good liability coverage can give you adequate protection in many typical situations, but if something beyond the ordinary occurs — like multiple people are injured in an automobile accident you caused — the total claims and damages could exceed your coverage. Your home, savings accounts and other assets might be at risk if you’re found liable for medical expenses and property damage beyond your coverage limits. But an umbrella policy can provide an extra layer of protection by picking up where existing policies leave off.

An Umbrella for Two … or More

Umbrella policies can cover more than just the policyholder. You can extend coverage to other members of your family — or your household. They also can move beyond the bounds of your property line or automobile to cover damages to other people’s property that you or a family member might be responsible for. What’s more, layering in this protection doesn’t have to break the bank — umbrella policies are generally affordable. You can often obtain $1 million in coverage for just a few hundred dollars per year.

How Big Is Your Umbrella?

Umbrella policies extend coverage to a wider array of things than typical homeowners or auto policies. They can protect your assets if you’re sued for defamation of character or if you are responsible for accidental bodily injury. They can also cover things members of your family might do, like your daughter accidentally breaking someone’s nose with a runaway curveball in a softball game.

It Never Rains, But It Pours

Many people can benefit from the coverage an umbrella policy offers, but not everyone needs it. One rule of thumb is if the total value of your assets exceeds the limits of your coverage, you should consider an umbrella policy. Also, if you engage regularly in activities that might incur a liability outside of your current coverage (like participating in physical sports that could injure other people), an umbrella policy might be right for you.

Prepare for a Rainy Day

When it comes to liability insurance you might think you’ve got it all covered. But in the event of the unexpected, an umbrella policy can keep you high and dry. Don’t let an uncovered misfortune rain out your future. Contact your local We Insure agent today to learn more about umbrella policies and to discuss whether this affordable, extra layer of protection might be right for you.

"The information contained in this page is provided for general informational purposes only and may not be applicable to all situations. WeInsure makes no guarantees of results from the use of this information."