What Is Umbrella Insurance and Who Should Have It?

The right insurance policy can protect help guard your financial security. For many people, an umbrella policy will be part of that package. If you have been thinking about adding umbrella liability insurance to your existing coverage, it is worthwhile to learn more about what protections it offers and who it is best suited for.

What Umbrella Insurance Covers

An umbrella policy increases liability limits on your existing policies, but it also does much more. These are just a few of the expanded coverages you can enjoy with the right umbrella liability insurance:

  • Protection for your wages and assets in the case of a judgment against you
  • Coverage for damages that would be excluded under a traditional homeowner or auto policy
  • Coverage for legal costs associated with claims
  • Protection that applies globally, no matter where you are

How To Know if You Should Have Coverage

There are several reasons you might consider adding an umbrella policy to your current coverage. For example, if your financial situation has changed, and you want to increase limits without rewriting your existing policies, it can be an affordable option to expand limits on several fronts. Umbrella policies also create a broader coverage package, which can help address underinsured areas.

The right insurance policy for you will depend on your personal and financial situation. Talk to a knowledgeable agent to learn more about whether adding an umbrella policy to your existing insurance is an affordable way to expand coverage.