For Times When It Doesn’t Just Rain, It Pours

We are all aware of the concept of insurance and how it helps us out on those rainy days. After all, without insurance, where would we be in the event our house burnt down, or our car was stolen? For these rainy days, our insurance policy is often like our raincoat … protecting us from getting soaked.

But what about those days when a raincoat just isn’t enough? Well, that’s what an umbrella is for.

Just like a simple vinyl umbrella would provide extra assistance to our good old raincoat in nasty weather, so does an Umbrella Liability policy provide extra coverage above and beyond our standard home and auto policies for those extra nasty losses. Losses that would not only leave us soaked, but possibly drowning in the absence of adequate coverage. Losses such as a multi million law suit for injury. Many of us are equipped under our standard policies to handle lawsuits of a million dollars, but how many of us have more than that? What would you do if faced with a $3 million lawsuit for injury?

Cost wise, is also often more economical to buy a single Umbrella policy to increase the coverage of several policies, than it is to increase each underlying policy separately.

Coverage wise, an Umbrella policy provides added features not available on property or auto policies such as coverage for lawsuits due to liable, slander and false arrest. Without an Umbrella policy, lawsuits brought against you because of these things would not be insured. An Umbrella policy provides coverage to you against these perils on a primary coverage basis. What this means is that the regular conditions of Umbrella policies that state an underlying policy must be in place, are cast aside, and the Umbrella policy limit becomes available to you to assist with your lawsuit.

Today’s litigious environment is becoming stormier each day. Lawsuits are becoming more frequent, more common and more expensive. Because of this, we all need to take extra care to protect ourselves and our assets. The easiest way to do this is to "dress for the weather". Because you can never tell for sure when rain will turn into a storm, it’s always a good idea to keep your umbrella with you!

** The information provided herein in intended to provide general information and not to replace the professional advice of your insurance broker.  Should you have questions pertaining to your specific needs, please contact our office