Umbrella insurance is an additional liability policy that covers amounts that exceed the policy limits of your home or car insurance. As the name implies, umbrella insurance offers extra coverage as a means of protecting you and your assets. Below are just a few advantages of purchasing this type of insurance.

3 Reasons to Buy Umbrella Insurance

1. Added Protection 

If you are held responsible for a serious accident of some kind, your personal liability could be substantial. It could jeopardize your home and financial resources. Umbrella insurance helps close the gap between what your home or car insurance pays and what you ultimately have to pay out of pocket. For example, if you cause a car accident that results in another party's major injury, you would be liable for damages. Those damages could quickly exceed the car insurance limits. However, with umbrella insurance, you won't be saddled with overwhelming costs.

2. Legal Reasons 

Whenever a person feels wronged or injured by another party, they have the right to sue for damages. If you are the target of such a lawsuit, you may face expensive legal costs, and any significant financial assets could be affected as well. An umbrella policy ensures you are prepared to meet the monetary demands of defending yourself in a legal case.

3. Versatility 

You can purchase umbrella coverage for home, renters, and car insurance policies. Having these options is crucial because accidents don't only happen on the road. For instance, if someone falls down and injures themselves on your property, you could be responsible for damages as the property owner or renter. Umbrella insurance essentially expands policy limits so you are not on the hook for the entirety of exorbitant damages. Purchase an umbrella policy to go along with each of your existing types of coverage, and you'll be protected both at home and behind the wheel.

Stidham Insurance Agency has been offering umbrella coverage to residents of Moore County, TX, and the Panhandle region since 1969. Along with home, renters, and car insurance, they also provide business and agricultural insurance and will work with you to design a package that offers the most comprehensive coverage. Obtain a free quote from a trusted insurance agent by calling (806) 935-6888 or visiting their website today.