Umbrella Liability

Liability Umbrella Insurance Policy brokered by FedNat.

In today’s litigious society, courtroom awards are growing larger and larger. A simple accident could result in you being held liable for damages not covered by your existing homeowners insurance policy. A personal liability umbrella insurance policy can give you additional liability protection without a large additional expense. It is important to discuss these important coverages with your licensed insurance agent to guarantee that you have the right amount of liability coverage ready to cover what your existing policies cannot.

What is an umbrella policy? – An umbrella policy provides an additional liability limit over your personal insurance policies covering your auto, home, vessel etc. In some cases the umbrella may also cover some gaps in your underling policies … again be sure to review the complete policy with an insurance professional for a better understanding.

How much umbrella insurance do you need? – It is a good idea to have more coverage than you have assets. Having as much coverage as you have assets may still lead to financial challenges in the event of a large judgement.

Why is an umbrella policy important? – Most underlying policies only provide minimal liability limits. In the event you are liable for damages, those underlying limits can quickly be exhausted with medical bills alone. It’s also important to note if a judgment is declared against you for more than your underlying coverage limits, you will end up paying any excess amount out of your assets and if no assets are available the amount may be required to be paid through Wage Garnishment.