What is Umbrella Insurance?
Umbrella or gap insurance is extra liability insurance. This type of policy kicks in when your existing insurance policy has been exhausted or in situations where some claims are not covered. It provides additional coverage above the limits of your homeowners, auto, and boat policies by protecting your assets from major claims and lawsuits. Call Texan Insurance to learn more about how you can protect your assets.
Here are four reasons you may need a personal umbrella policy.
You drive. (boat or car)
- Medical Expenses
You may be the safest, most defensive driver to ever get behind the wheel, however, you can’t say that about every other driver on the road. With Houston ranking number one for most deadly roads, the likelihood of suffering a big loss after an accident continues to climb.
Umbrella coverage also extends to boat coverage. What if your boat is in an accident when you have other people on it? What if the boater that caused the accident is uninsured? If you or your family get into an accident, in a car or boat, a personal umbrella policy covers your medical expenses if your primary auto and boat policy limits are exhausted.
- Liability
If you are in an accident that your fault, what then? We all live in a world that is increasingly litigious and plaintiff-friendly. Whether you have hundreds of thousands in assets or not, costly litigation and fees could leave you in a hole financially. Protect your assets and future by having an umbrella policy.
You Interact with People
Today something as simple as insulting someone over Facebook could lead to a legal nightmare for defamation of character, slander of libel.
If you have a large lawsuit brought against you, just the cost of the defense will run into the tens of thousands of dollars. Even with a top-notch defense, you can still be found liable. The payment and settlement could ruin your entire life. With umbrella coverage, an expensive settlement won’t cause you to spend the rest of your life digging out from underneath the loss.
You Own Property or Pets
You are responsible for any accidents that might occur on your property. Besides the usual slip and fall liability, many don’t think of the potential hazards our animals could cause. If your dog gets out and bites someone or someone, you are responsible, not only for the injury, but for any rehabilitation, or loss of wages, or for any court costs.
Your umbrella policy will provide extra coverage for those various risks, including restitution for injuries and paying for litigation costs for anything that happens in your home.
You Own or Plan to Start a Business
Umbrella insurance is not just for big businesses or the rich, small business are also at risk for a wide range of risks or mishaps. There are certain claims that are rare and very costly and most insurance policies don’t cover them. That’s why having an umbrella insurance policy is very important, to protect your business.
Umbrella insurance can also help your business save money. When you raise the limits of your individual liability policies, you will also have to increase your premiums. But with umbrella insurance, you will get the extra coverage buffer without worrying about the limits of your other individual policies. This is a rainy day coverage that you can get without breaking the bank.
Call Texan Insurance to learn more about umbrella coverage.
