With all the insurance options available, one type of insurance you may not have thought about is umbrella insurance. Umbrella insurance protects you from a variety of potential losses which may not be covered by your other policies. You can purchase both personal or commercial umbrella insurance. Here is more information about how umbrella insurance works and how it can benefit you!
Umbrella Insurance Covers You For Additional Costs
Umbrella insurance acts as additional insurance to cover you when you are under-insured or have gaps in your other coverages. Examples of how umbrella insurance works are listed below.
Coverage for Personal Injury Lawsuits
Umbrella insurance may cover any type of excessive medical liability your home or auto insurance won't cover should you be sued for personal injury. If you have commercial umbrella insurance, then this would cover business-related injuries.
Coverage for Severe Auto Accidents
Umbrella insurance covers both you and your passengers for medical expenses beyond what your auto insurance allows. This type of insurance also extends liability coverage for other people's damage or injuries.
Coverage for Libel and Slander
You can be sued simply by posting something online, such as a negative review. Umbrella insurance can cover your legal expenses should you be sued for libel and slander as well as other legal issues.
Coverage for Mental Anguish
While most insurance will cover medical issues, mental anguish is not typically covered. Mental anguish awards are often punitive and, thus, very high. With umbrella insurance, you are likely to be covered.
These are just a few examples of the types of coverage umbrella insurance can provide that your other coverages may not.
Commercial Umbrella Insurance May Protect Your Business
Personal umbrella and commercial umbrella insurance are two different things. Some activities covered by a personal umbrella may not be applicable if those activities are business-related.
For example, personal umbrella insurance won't cover activities like posting a libelous statement from your business account, injuries that occurred while operating a home business such as babysitting, or driving your car for business errands.
Commercial umbrella insurance covers gaps in your existing business insurance policy such as increased liability protection as well as increased commercial auto protection.
Umbrella Insurance Is Beneficial for Most People
Umbrella insurance can cover a variety of possible losses. Umbrella insurance is especially useful if you:
Have several vehicles such as multiple cars, boats, and other recreational vehicles
Have a home or more than one home
Have a large, aggressive dog
Have large livestock such as horses or cattle
Have many drivers in your household
Have frequent visitors to your home
Umbrella policies can substantially provide in the event something were to happen and your other policies not provide adequate coverage.
An insurance agent can look at your existing policy to see what types of activities you engage in and what items you own that could put you at higher risk and can personalize your policy. Umbrella insurance is easy to add to your existing insurance. In some cases, you may be able to raise your insurance deductible because the umbrella insurance will fill in if you need to file a claim.
You may think umbrella insurance is unnecessary because you don't anticipate any excessive risks or losses. However, if you do experience a loss that exceeds your current insurance coverage, then an umbrella policy comes in handy.
If you want to know more about umbrella insurance and whether or not it is right for you, then contact Gulf Coast Insurance to discuss your needs.