Umbrella Insurance

Have you heard the common myth that Umbrella Insurance policies are only for wealthy individuals?  Although umbrella insurance is indeed important to protect assets, having this type of coverage is essential for anyone with any amount of assets.  If you have wages that could be garnished or a nest egg stashed aside for your retirement, then you could be at risk without Umbrella Insurance.

What is Umbrella Insurance?

Umbrella insurance is supplemental liability insurance.  This insurance protects the gaps in coverage that your traditional home and auto limits may not cover.  In basic terms, this coverage kicks in when the liability limits on your home and auto policies have been met.  Without this insurance, if you are found at fault for specific liability claims, your assets and wages could be garnished to cover the costs over your liability limits.

What Does Umbrella Insurance Cover?

Overall, having umbrella insurance provides the protection you may need for:

  • Bodily injury liability
  • Property damage liability
  • Landlord liability
  • Legal fees, false arrest, libel, and slander


Bodily Injury Liability

This type of liability coverage is designed to cover the cost of medical bills due to injury to another person’s body if you are at fault for the accident.  This type of coverage could be used in the case that you are in an auto accident that injures other passengers or drivers, injuries a guest or child sustains from an accident on your property, or even if your dog harms or injures someone.

Property Damage Liability

This is designed to cover the cost of damage or loss of another person’s property if you are found at fault for an accident.  Injury to another person’s property could happen if you are in an auto accident and total another driver’s vehicle or if structural damage is caused by an accident.

Landlord Liability

If you are a landlord with rental properties, this insurance can help protect you from claims if someone sues you for injury while on your property.  An example would be if a tenant sustains an injury on your property and you were found at fault; this coverage would help cover the claims costs.

Legal Fees, False Arrest, Slander, & Libel

Umbrella insurance also can help cover costs of legal fees you may accrue if you need to defend yourself in court due to false arrest and claims of slander and libel.

You Might Benefit From Umbrella Insurance If You:

  • Are a landlord
  • Own an aggressive dog
  • Have savings, retirement, or other accounts
  • Own multiple cars
  • Have a high net worth
  • Own a swimming pool or trampoline
  • Have one or more teenage drivers
  • Entertain at home frequently


The bottom line of Umbrella Insurance is that it’s an essential supplement to your home, auto, rental, recreational vehicles, and other polices.  It provides the extra needed protection you need from liability claims that may exceed the limits of your traditional policies and help cover the costs of suits, so you’re not losing your assets or wages.

Umbrella Insurance is not something to dismiss as the industry has seen an increase in claims in recent years. With all policies being different, contact us today to consult with one of our Personal Risk Advisors.

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