You may need an umbrella for more than just a rainy day. Try to imagine the following scenario-you're in traffic on your way to the Cape or the mountains of Maine. Your kids start yelling at each other in the backseat. Your attention shifts from the road to them for a brief second and before you know it, you've rear-ended the car in front of you. You ask yourself, "Will my auto insurance fully cover this fender-bender? Your personal auto policies will have limits, but having an umbrella insurance policy can cover the unexpected.
At Doyle Insurance, we want to make sure our clients are prepared for everything. In many cases, an umbrella insurance policy can help do just that. Not exactly sure what an umbrella insurance policy is? Here are some answers to commonly asked questions about this important coverage.
What is umbrella insurance?
An umbrella insurance policy provides additional coverage or "excess liability" above the limits of your basic policy, such as your personal auto insurance or your homeowners insurance policy. If you file a claim that isn't completely covered by your homeowners or auto insurance policy, your umbrella insurance can kick in to cover the rest.
Is it expensive?
One of the biggest misconceptions about an umbrella insurance policy is that it is going to break the bank. That's not the case. An umbrella insurance policy with up to $5 million dollars in coverage can cost as little as $200 for the year - that's about $16/month!
When should I consider an umbrella insurance policy?
We have found that the added protection of a personal umbrella insurance policy makes sense for most of our clients, especially when you consider the protection you get for the price of the policy. While there are several reasons why having a personal umbrella insurance policy could be beneficial for you, here are some risks or exposures that are particularly compelling reasons to have extra coverage:
Having a swimming pool, trampoline or hot tub on the property
Owning a boat, motorcycle, or RV
Owning a rental property
Having a dog
Having teenage children
While you can never plan for these types of accidents, you can prepare for them. Umbrella insurance offers you added coverage and peace of mind.