Nobody plans to have an accident. By definition, an accident is unforeseen. Really bad accidents are just as unforeseen as bad accidents, so it makes sense to be protected when a loss occurs at both ends of the severity spectrum. Your homeowners policy and auto policy provide the first line of defense for bad accidents; but for really bad accidents, you need an umbrella policy.

Although the concept for excess liability coverage is the same, insurance companies typically do not use standard umbrella policy forms. This means each policy could offer more coverage in some areas and less in others. Independent agents have more companies to choose from in the selection of a policy that meets the needs of the client.

First, you will need to decide on the amount of protection that seems appropriate for your wealth and peace of mind. Limits offered will be multiples of a million dollars. Since umbrella policies add limits to your homeowners and auto policies, you will need to make sure these policies meet the underlying requirements of the umbrella policy.
While some policies just add limits to primary policies, a true umbrella will go beyond that. It also will fill some gaps in those policies. Below are a few potential exposures to which an umbrella could respond:

• You rent a car in Germany and are liable for damage you cause with it, as well as for damage to the rented car.
• You rent a large watercraft and are liable for damage you cause with it, as well as for damage to the rented watercraft.
• You are sued for libel, slander or invasion of privacy.
• You leave the water running in the bathtub at a house you rented while on vacation and there is significant damage from the overflow.
• You leave the door unlocked at a house you rented while on vacation and a thief takes valuable furnishings from the home.
• You have been sued for damages, such as shock, mental anguish, humiliation or discrimination.
• You need more protection for injuries to you or your family when caused by an uninsured or underinsured motorist.

Call our agency and let’s examine your need for protection if a really bad accident occurs. The accident may be unforeseen, but your protection can be planned ahead of time.