An Umbrella insurance policy, also known as Excess Liability, is extra liability insurance coverage that goes beyond the limits of the insured’s home, auto, & watercraft insurance. If you are a business owner, an Umbrella insurance policy can protect your business beyond the limits of your General Liability policy. It provides an additional layer of security to those who are at risk for being sued for damages to other people’s property or injuries caused to others in an accident. An umbrella insurance policy is very helpful when the insurance owner is sued and the dollar limit of the original policy has been exhausted. The added coverage provided by liability insurance is especially useful to individuals who own a lot of assets or very expensive assets and are at significant risk for being sued.
To understand how umbrella insurance can help, consider the following hypothetical scenario. If a driver runs a red light and accidentally hits another car, there may be significant damage to the other vehicle and several people might be injured. With car repairs totaling $50,000 and the treatment of the injuries exceeding $500,000, the driver at fault may be liable for expenses that go far beyond the coverage limits of their existing insurance policy. An umbrella insurance policy will pick up the additional liability costs beyond the normal limits of their auto insurance policy.
To find out more about umbrella insurance, please call us at 949-833-2030 or submit your information in the Quick Quote box at the top of this page!