Think an umbrella just keeps you dry? Think again…

By Joanie LaFemina

During this very thankful time of year, it is a good time to reflect on our families and their well-being. One insurance product that can assist us in protecting our home and family is a personal umbrella policy.

Insurance can be a mystery and umbrella liability policies are often the most misunderstood.

Why Is Umbrella Insurance So Important?

Your car, house, investments and retirement accounts, as well as your checking and savings accounts and future income, are all considered assets. It is important to know that if you are sued for a lot of money and do not have enough liability insurance or an umbrella policy to cover those costs, all of your assets are exposed. People typically purchase an umbrella policy because they want to prevent the possibility of financial ruin due to one misstep or unforeseen accident. Umbrella insurance can provide the protection to help prevent such an outcome.

Umbrella Insurance is Affordable!

Coverage for an umbrella policy typically starts in the range of $150-$200 for a $1 million policy.

An umbrella policy makes great sense in the following circumstances:

1. A Young Driver on your policy

96% of teen crashes will be caused by driver error, according to the journal Accident Analysis & Prevention. If you have a young driver in the home it could leave your assets vulnerable in the event of a lawsuit.

2. You have a Dog

Umbrella insurance covers dog bites under most circumstances. If your dog bites your neighbor, you are liable for that person’s bodily injury. Umbrella insurance can also cover you if your neighbor decides to seek legal recourse.

3. Multiple Homes

If you have a secondary or rental home, you can add it to your primary home umbrella liability policy and extend the liability coverage to that location. Often the cost is $35 or less to add that second residence.

4. Boats or motorized watercraft

A typical boat liability insurance policy caps at a limit of somewhere between $100,000 and $500,000. You may want to ensure you have the coverage you need in the event you cause a catastrophic accident that costs more than your liability policy will cover.

If you would like review your umbrella coverage, call your Hometown personal account representative today. We write with many different companies and we are thankful to represent them:

Travelers, The Hartford, Utica, Progressive, Andover, Adirondack, Merchants, MAPFRE, Ocean Harbor, Coastal Agents, National General, Hagerty, Kingstone, and more!

Call 1-800-568-SAVE (7283) today to obtain a no obligation quote for an umbrella policy!