Let’s face it. Most of us are not wealthy. A severe loss event could put a real hardship on us that we might struggle to ever recover from. If a major accident exhausts the liability coverage you have already paid for, you might find yourself in a tough spot—and your assets and future earnings could be vulnerable to a lawsuit. Mapfre’s Umbrella Insurance gives that extra layer of coverage if you, your spouse or your dependents living at home become responsible for damages that exceed the liability limits of your auto or homeowner policy.
A lawsuit can, unfortunately, put your assets at risk including your home, auto, property and savings. Here are a few examples of situations that could occur, leaving you potentially exposed to a huge financial loss:
- A visitor slips and falls at your home
- Your dog bites your child’s friend
- A family member’s social media post results in a defamation suit
How much coverage do you really need?
The answer is, it depends. Usually your insurance agent will want to know your net worth and annual earnings as a starting point, then they will ask other questions to find out how much coverage is appropriate. According to the Insurance Information Institute, a $1 million personal umbrella liability policy costs on average $150-300 annually.
When it comes to insurance, it is better to be safe than sorry if a rainy day comes your way.
Contact your independent agent for an Umbrella Insurance quote.
Learn more about Umbrella Insurance: https://www.mapfreinsurance.com/en/products/umbrella-insurance/
Source: https://www.iii.org/article/should-i-purchase-umbrella-liability-policy-0
