Author Box
Articles Categories
All Categories
Articles Resources

Facts Everyone Should Know About Umbrella Insurance

May 19, 2011 | Comments: 0 | Views: 149

Umbrella Insurance - sounds familiar, doesn't it? Many of us may have heard of this at one point or the other though most of us may know not much or anything about it. As the name itself indicates, the umbrella insurance protects an individual in times of legal troubles similar to an umbrella which protects one during a downpour. Well, it is a very beneficial insurance policy covering many areas which the home insurance or the auto insurance policies do not. Another noteworthy feature of Umbrella Insurance is that it is advantageous over so many other insurance policies as even after the exhaustion of an individual's regular policy it fills in the gaps in coverage.

It is a common knowledge that at no point of time any of us can foresee what might happen in the near or far future. There are so many instances wherein you or I have to face a lawsuit filed against us. For instance, you happen to injure someone with your car. He sues you for it and the legal expenses and the judgment costs levied on you exceed your auto insurance. Then, umbrella insurance comes to your rescue.

If you purchase the policy you can face such unforeseen situations without having to lose any of your personal assets. Though many people mistake it as an extra liability, it is not. Umbrella insurance comes to one's rescue in case if he is sued for a thing not covered by his home insurance or auto insurance.

The individual can select the amount of coverage after carefully calculating the worth of the assets he owns. For instance, if you have personal assets worth, say, a million dollars you have to go for a million dollar umbrella. Similar to an umbrella, it is also cheap. With just as little an amount as $120 dollars one can purchase as high as one million dollars of excess liability. Considering these two points, many individuals go for buying an umbrella policy the cost of which is far more than the actual worth of their personal assets. The excess liability provides protection for many things such as imprisonment, defamation, invasion of privacy and many more that have nothing to do with the car or home you own.

One important point worth considering is that an individual needs to maintain a certain amount of liability on his home and auto policies before seeking to purchase the umbrella policy.

Go to our website to discover more about umbrella policies and umbrella policy insurance.

Source: EzineArticles
Was this Helpful ?

Rate this Article

Article Tags:

Umbrella Insurance


Auto Insurance


Umbrella Policy


Insurance Policy Covering


Facts Everyone

Auto insurance is probably one of the most expensive insurance types in Canada. An average car insurance policy in Canada costs approximately $1,200 per year and in Ontario, the largest Canadian

By: Alex Saltykov l Insurance > Car Auto l July 09, 2013 lViews: 553

Your house is often your largest investment that you need to protect via insurance. We created a list of multiple savings tips related to Home insurance and hope that these will help you to save a

By: Alex Saltykov l Insurance > Home Owners Renters l December 27, 2012 lViews: 380

Most auto insurance companies design specific car insurance policies for classic and antique cars. If you think you have a classic car and want classic car insurance, you will need to be sure that

By: Richard l Insurance > Car Auto l October 17, 2012 lViews: 570

Business Overhead Expense Insurance Plans can provide cash flow to the business in the event of a disability to a key employee or owner. For a small, growing company it might make the difference

By: T. Spencer White l Insurance > Disability l July 17, 2012 lViews: 243

Workers compensation costs are rising. According to a recent report by the Workers Compensation Research Institute (WCRI), indemnity costs per claim (the loss of earning capacity, payments for lost

By: Kelly C. Williams l Insurance > Workers Compensation l July 08, 2012 lViews: 221

One of the most helpful government programs out there is the SSI Disability program. A person that is legitimately disabled, and cannot work to provide an income for themselves for their family

By: Oleg Winter-Burnett l Insurance > Disability l July 04, 2012 lViews: 282

This article covers five things you should know about liability insurance. From commercial general liability insurance for your business, to professional liability insurance for providers of

By: Darryl William DeLongl Insurance > Umbrellal June 04, 2012 lViews: 190

Professional indemnity insurance is a type of business insurance that protects professionals when they are threatened with legal action as a result of negligence, act of omission or error. There are

By: Kayla C Rosebyl Insurance > Umbrellal May 02, 2012 lViews: 171

Few Australians have the financial resources to cover the expenses of life's unexpected hazards, and yet too many don't have a plan in place that will protect their financial security and lifestyle

By: Liz Ernstl Insurance > Umbrellal January 30, 2012 lViews: 210

Do you have a Personal Umbrella Insurance Policy? Why not? If you own a home or rental property, have money in the bank (whether in cash, retirement accounts or trust), or have a decent paying job

By: Wayne Mccormickl Insurance > Umbrellal November 04, 2011 lViews: 184

What is an Umbrella? We immediately envision a water proof canopy to hold over ourselves during a rainstorm. I like to picture those nice size ones that not only protect your head and shoulders, but

By: Vicki Myersl Insurance > Umbrellal September 21, 2011 lViews: 152

A car can be a lethal weapon. In just a matter of seconds your life could go from feeling financially independent to being afraid of losing everything. In my 26 years of being in the insurance

By: Larry W Freudenbergl Insurance > Umbrellal September 18, 2011 lViews: 165

How do umbrella insurance policies guard us against the unforeseen events and incidents? The answer to this question is unknown to most of the people. Let's find out the answer here.

By: Pruthiraj Jenal Insurance > Umbrellal May 20, 2011 lViews: 121

The personal assets of an individual are the assets he has purchased with his hard-earned money and therefore it would be painful to part with them. Generally, personal assets of an individual are at

By: Pruthiraj Jenal Insurance > Umbrellal May 19, 2011 lViews: 129

An Umbrella provides protection against rain or sun light. The term Umbrella Insurance has the same concept and thus it is self explanatory. Umbrella Insurance is a policy, which is a bit different

By: Pruthiraj Jenal Insurance > Umbrellal May 19, 2011 lViews: 106

Individuals and professionals often go long ways in protecting and fortifying their assets but often miss out on backing themselves with comprehensive insurance coverage in the event of a disaster.

By: Pruthiraj Jenal Insurance > Umbrellal May 19, 2011 lViews: 133

Discuss this Article

comments powered by Disqus