With umbrella insurance, you create a mechanism to settle your differences with others, without subjecting yourself to a significant financial strain. You never know when a liability claim will exceed your policy’s limits, but umbrella coverage can help you be prepared for anything.
A single personal umbrella policy can be used in conjunction with numerous policies at the same time, including:
Auto insurance
Homeowners insurance
Renters insurance
Boat insurance
Motorcycle insurance
RV insurance
To use this plan, you would first have to file a claim against your standard liability policy. Once that policy has maxed out its benefits, you can turn to your umbrella policy to cover the difference.
Most policies will offer at least $1 million in additional protection, and many will cover liabilities that aren’t covered at all by your basic policies.