Umbrella insurance is a type of liability insurance that provides additional coverage above and beyond the limits of your primary insurance policies, such as homeowners insurance or auto insurance. It is designed to protect you from catastrophic events or lawsuits that exceed the coverage limits of your underlying policies. Here's when you should consider getting umbrella insurance:
It's important to note that umbrella insurance typically requires you to have underlying liability coverage in place, such as homeowners or auto insurance, with specific minimum limits. The umbrella policy kicks in once the limits of your primary policies are exhausted.
When considering umbrella insurance, it's advisable to assess your personal risk factors, asset portfolio, and potential liability exposure. Consult with a licensed insurance professional who can evaluate your specific circumstances, provide guidance on coverage limits, and help you determine the appropriate amount of coverage needed to protect your financial interests.
Disclaimer: The questions and answers above are for educational purposes only. They are meant to provide the public with a general conceptual understanding of insurance and do not constitute advice or analysis. Some answers might be incomplete, outdated, and even not always accurate depending on the particular rules applicable to your state. Importantly, these questions and answers are generic and do not relate to any particular insurance product, including products available on the Waffle platform. If you have any questions about any of your own insurance products, always check the policy first and direct your questions to your insurance agent or the insurance company underwriting your policy.
