Everyone’s heard of an umbrella policy, but very few know exactally what it does. A umbrella gives you excess protection fom rain, and an umbrella policy gives you excess protection from lawsuits when your regular insurance is used up. It “sits on top” of your auto,home, or business insurance to plug the holes and make sure your completely covered.
America seems to have a love affair with lawsuits. It’s important to make sure that if you’re caught up in one, you won’t lose everything. One lawsuit can result in the loss of thousands of dollars, and umbrella insurance kicks in when your regular coverage is spent. It can pay $1 million, $2 million, and sometimes even $5 million of a claim, on top of your regular policy.
Some people have the misconception that umbrella insurance is only for wealthy people, and therefore it’s expensive. Both of those facts are false. Umbrella insurance is for anyone who has an auto, home, or business policy, and it’s very affordable, and it can be easily coordinated with your existing policies.