Investing in an umbrella insurance policy is an excellent way to protect yourself and your property from liability accusations as time goes on. If someone gets hurt on your property, for instance, your umbrella insurance plan will help to financially protect you if you're sued. And if you become liable to someone, you can expect your umbrella policy to pick up the slack when your other insurance policy benefits have been exhausted. Here are a few specific ways an umbrella insurance plan can protect you and your family in the future:
Damage to Assets
Insurance policies for your home, your vehicles, and your valuable belongings may not cover everything if you become liable for an accident that happens on your property. Whether you're found liable for an auto accident that resulted in damage to your home or a houseguest claims that it's your fault that they've damaged an expensive vase inside your home, your umbrella insurance policy should cover the costs of things like auto repairs and house rebuilding if your homeowner and auto insurance won't cover it.
Serious Bodily Injuries
If someone gets hurt while they're visiting your home, they may decide to sue you for pain and suffering – and there is a good chance that your homeowner's insurance won't cover the costs of things like sustained visits to the hospital or serious surgical procedures. By investing in an umbrella insurance plan, you can help ensure that you won't have to pay for everything out of pocket when taking care of the expenses the injured person has filed a claim for. Instead of paying the injured party thousands of dollars to cover their medical expenses, you'll likely pay only a predetermined deductible.
Liability as a Landlord
If you rent one or more homes out to tenants, your umbrella insurance policy will help round out your other liability insurance policies and minimize the chance that you will end up having to pay for damage done to your home or injuries that a tenant sustains when an accident happens that you are found liable for. Your umbrella insurance policy can even help to protect you against slander when a settlement is made between you and an injured tenant – whether you or the other party is being accused of slander.
Contact an insurance agent in your neighborhood today to learn more about how you can benefit from an umbrella insurance policy and to find out about other insurance options that are available to you.
You keep a copy of your insurance policy in your file drawer, but do you know how to read and understand the policy? Having an insurance policy will protect you from losses, but it won't protect you from all losses. To get a better understanding of what your policy will and will not cover, read through this blog. You will learn about all different types of insurance policies and learn the terminology used in the documents that you have read. Hopefully, by the time you have read through the content here, you will know exactly where your insurance policies are lacking so you can make changes.