Umbrella Insurance

Umbrella insurance provides additional liability coverage beyond what your homeowner's and auto policies offer. It kicks in when you've exhausted the liability limits on your primary policies.

How It Works: If you're sued and the judgment exceeds your homeowner's or auto liability limits, umbrella insurance covers the excess—protecting your assets from seizure.

Example:

• Auto liability limit: $300,000
• Judgment against you: $1,000,000
• Without umbrella: You owe $700,000 personally
• With $1M umbrella: Insurance covers it

  What It Covers:

• Bodily injury liability
• Property damage liability
• Personal injury (libel, slander)
• Legal defense costs
• Claims when traveling abroad

  Who Needs It:

• High net worth individuals
• Property owners
• Those with pools, trampolines, or dogs
• Teen drivers in household
• Anyone with significant assets to protect

  Coverage Amounts:

Typically available in $1 million increments, starting at $1 million. Most people with assets choose $1-5 million.

Cost: Surprisingly affordable—usually $150-$300/year for $1 million in coverage.