Umbrella insurance coverage gets its name from the fact that it acts as an umbrella against lawsuits and other claims against you. It kicks in once the limits of your other insurance policies, such as car insurance or homeowner’s insurance, are exhausted and often provides coverage for things that aren’t included in your other policies. Umbrella insurance can protect you from lawsuits for:

• Bodily injuries caused by a car accident you caused, your dog, or dangerous conditions on your property.
• Property damage caused by you, your child, or a pet
  Injuries or property damage from a dangerous condition at your rental property.
• Other torts such as slander, libel, false arrest, and malicious prosecution.

So what’s the point of an umbrella policy?

Many people will look at the above list and see think umbrella coverage is unnecessary because many of those items are covered by other insurance policies. The keyword, though, is many — if a lawsuit against you isn’t covered by another insurance type, you could be out tens of thousands of dollars in legal fees even if you defend it successfully. Umbrella insurance provides both broader coverage in general and fills in holes created by exclusions in your other insurance policies.

In addition, umbrella insurance policy premiums are some of the cheapest in relation to the amount of coverage you receive. $1 million in liability coverage frequently costs less than $200 per year. If you want to fully protect your home, other assets, and future wages from a potential lawsuit, umbrella coverage will almost always be the most cost-effective option when compared to raising the limits of all of your other insurance policies.

Please note: The above information is general in nature and may change according to the specific terms of your policy. For more information on personal umbrella insurance in the Norwich, CT area, contact Waitte’s Insurance today at (860)-886-1961.