There are various kinds of insurance that you can choose to obtain to protect you, your family, and everything that you own. The fundamental one would be life insurance, which ensures the financial stability of your family if you unexpectedly pass. You may get a homeowner's and auto insurance to protect your house and your cars, respectively. There are more policies available for your health, business, and even disability.
All About Umbrella Insurance
One specific insurance that people usually overlook is umbrella insurance. This policy gives you liability protection beyond the limitations of the other personal insurance policies that you have, such as your homeowners and car insurance. The umbrella insurance also covers claims that are usually excluded by insurance companies on most of their policies, like false arrest.
The primary purpose of getting umbrella insurance is to protect your assets in times that you are held responsible for injuries and damages in severe accidents. Getting this insurance is a smart move, because these days, people are quick to contact their lawyers and sue you over even tiny and innocent incidents. Once you have this policy, you will have protection against liability lawsuits.
How This Policy Works
You can only use your umbrella insurance in two situations. You can use it once you can completely utilize the underlying liability limits or when your primary policy coverage does not include the claims. Afterwhich, it works the same way with other policies. Once the wronged party sues you, then your insurance company will pay the settlement amount up to the specified limit. If the amount exceeds the coverage limits, you are obligated to pay the remaining amount.
Importance of Getting an Umbrella Insurance
You have to be aware that all that you have, your car, home, bank accounts, and even investments are your assets. If someone sues you for an enormous amount of money and you don't have enough liability insurance, you will have to cover the costs. You may end up using all your assets to pay for the settlement. An umbrella policy helps relieve that burden and prevent you from having any financial problems after the case.
If you still do not have umbrella insurance, make sure to get one now at Mauser & Tobin Co., Inc., we aim to provide comprehensive insurance policies that make your life easier. We want to help you get the insurance that fits your needs. You can get more information about our products and services by calling our agency at (516) 747-0171. Get your free quote today by CLICKING HERE.