Insurance policies are intended not only to protect your property but your finances as well. While auto and homeowners insurance coverage include some liability coverage, it is not enough to cover the full amount of damage if you are responsible. For this reason, many people choose to purchase umbrella insurance. Here is some information about this type of insurance coverage.

A Guide to Umbrella Insurance

What Is Umbrella Insurance?

Umbrella insurance is designed to extend the liability protections that other policies provide as well as protect you from other issues not included in your current coverage. If you are found liable for damage to someone else’s property or injuries to another person, an umbrella policy pays the remainder after you have exhausted the limit of the related policy such as auto, motorcycle, or homeowners insurance. Most umbrella insurance plans also offer financial protection against lawsuits related to slander, libel, and false arrest.

What Are Some Reasons to Purchase This Type of Coverage?

If you own high-value assets, an umbrella policy is crucial coverage to have. It is relatively easy to exceed the limits of your current coverage options, and you could be responsible for paying a large amount of money if a disaster strikes. For people with expensive homes, cars, or other assets, an umbrella policy can make all the difference.

Another excellent reason to purchase this type of policy is for the peace of mind it provides. This supplemental policy allows you to rest assured knowing that you are covered in any situation. This peace of mind is invaluable knowing that your assets are fully protected even if you are sued or involved in an accident.

The insurance agents at Kalita Agency, located in Watertown, CT, help you find the right umbrella insurance policy for your needs. Give them a call at (860) 274-8882 to speak to an agent. You can also visit them online to learn more about their business insurance policies.