Home and auto insurance provide liability protection for accidents and injuries that occur on your property or while driving. In many cases, a regular policy offers ample coverage for property damages, medical expenses, and lawsuits. However, if an accident or injury claim exceeds the value of your policy, you may have to pay out of pocket, which could put you in a dire financial situation. Fortunately, umbrella insurance offers extra coverage to prevent this. Below, you’ll learn more about this policy and how it can benefit you.
Your Guide to Umbrella Insurance
How does it work?
If you lose a lawsuit after you get into a car accident, or if someone becomes injured on your property, your financial responsibility may be higher than what your insurance policy covers. Umbrella insurance provides additional liability coverage of over a million dollars above your current policy.
What are the advantages?
Umbrella insurance prevents you from withdrawing from your savings or selling your assets to cover high dollar claims. This is especially helpful in situations that cause extensive property damage, or in which multiple parties become injured, such as house fires or multi-vehicle accidents. Umbrella insurance will prevent you from experiencing financial hardship.
How much coverage do you need?
The amount of coverage you need depends on the value of your assets. Add up the value of your home, vehicles, savings, bonds, stocks, and retirement plans, and compare the total to the liability coverage maximum on your insurance policy. If it exceeds this value, take out an umbrella policy for extra financial protection. Coverage typically ranges from one to 10 million dollars.
Enjoy the peace of mind umbrella insurance provides with help from Barnes and Howell Insurance. They offer homeowners, auto, boat, motorcycle, and renters policies to clients throughout Gainesville, GA. Call (770) 718-0202 to get an insurance quote, and visit the website to learn more about how to bundle personal and commercial insurance options.