Do you have enough insurance coverage? It’s a loaded question, to be sure. Unfortunately, this is an impossible question to answer – even for insurance experts! No matter how much coverage you buy for your home, car, and other belongings, there is always the slight chance that you will one day need to file a claim in excess of your current policy limits. That’s where an umbrella insurance policy kicks in!
What is Umbrella Insurance?
According to Investopedia, umbrella insurance is “Extra liability insurance coverage that goes beyond the limits of the insured’s home, auto or watercraft insurance. It provides an additional layer of security to those who are at risk for being sued for damages to other people’s property or injuries caused to others in an accident.”
In other words, umbrella insurance acts as an extra layer of protection on top of your existing insurance policies, just as a physical umbrella would provide extra protection from the rain on top of your existing clothing.
ithout umbrella insurance, your maximum claim limit would be the amount outlined in your insurance policy. You would be responsible for any additional damages, and paying those out of pocket can get very expensive very quickly. With an umbrella insurance policy, you have a significant amount of additional coverage that can be used for exorbitant claims on several of your existing insurance policies.
What does Umbrella Insurance cover?
Every person has different needs when it comes to umbrella coverage, but in general, the coverage protects its owner in several ways. The most prevalent use of umbrella insurance is to cover damages above and beyond existing home, auto, and other insurance policies. This includes extra coverage for:
Injuries such as slips and falls, dog bites, car accidents, etc.
Property damage like damage to a car after an auto accident, accidental damage to another person’s belongings, and more.
Lawsuits, including defense costs, attorney fees, and other related expenses.
And much more.
In addition, this policy will typically cover some types of liability not covered under other insurance policies, such as libel or slander.
Who needs this policy?
There is a common misconception that only the wealthy need umbrella insurance because they have extra assets to protect. In truth, the number of assets you have isn’t the sole reason that you would purchase this protection. Umbrella insurance is meant to protect you in the cases discussed above, typically consisting of very expensive liability damages.
Every person is capable of incurring these costly damages, so every person should talk to their Massachusetts insurance agent about obtaining an umbrella insurance policy.
How do I get an Umbrella Insurance quote?
Getting an umbrella insurance quote is easy! All you have to do is call Vargas and Vargas Insurance Agency at 617-298-0655. Tell one of our agents about your current insurance policies and your need for additional liability insurance, and we will find the policy that is right for you. The best part is that this type of policy is typically very inexpensive, so you won’t have to spend a lot out of pocket to get a lot of extra peace of mind.
