Many people do not understand the details of an umbrella insurance policy, including what it is and why they need it. In fact, many of them seem to view umbrella insurance as a policy that is meant only for the wealthy to afford. Fortunately, a simple explanation of this type of insurance can give you a clearer understanding of how the insurance works and the many advantages that it can bring to you.
The easiest way to explain umbrella insurance is by describing it as a form of extra liability insurance. Designed with the sole purpose of protecting you against major claims, umbrella insurance should not be viewed as a primary insurance policy. Instead, it provides coverage above what your auto, home, or boat insurance provides. For example, if you are in an auto accident and your auto policy benefits are exhausted, this is when your umbrella insurance policy will step in and provide coverage. If however, you don’t have auto insurance, an umbrella policy will not be of use for expenses incurred from an accident.
Many people find themselves in a haze even after they have received an explanation of umbrella insurance. If this applies to you, start off by understanding the types of coverage you will receive.
What does umbrella insurance from Shults Insurance Agency in Fort Plain, NY cover?
- Certain lawsuits
- Personal liability situations
- Damage to property
As explained above, umbrella insurance is only of value if you have other policies in place. To learn more about the many benefits of having umbrella insurance, please do not hesitate to contact us!