No one likes to think about the worst-case scenario. But when it comes to your finances, it’s always best to be prepared. That’s where umbrella insurance comes in. Umbrella insurance is designed to protect you from major financial losses. But what exactly does it cover? In this article, we’ll look at the different types of coverage included in an umbrella insurance policy. By the end, you’ll better understand this important coverage and how it can help protect you financially.
Umbrella insurance is an additional layer of protection that sits on top of your existing auto and homeowners insurance policies. It provides extra coverage in a major accident or catastrophic event. That means that if you are sued for damages that exceed the limits of your auto or homeowners insurance policies, your umbrella policy will kick in and help cover the costs.
Now that we’ve covered how umbrella insurance works, let’s look at the different types of coverage it can provide. The most common type of umbrella insurance is liability coverage. This coverage protects you from financial damages for which you may be held responsible. That could include things like medical bills, property damage, and legal fees. Liability coverage is important because it can help protect your assets and your future income.
In addition to liability coverage, umbrella insurance can also help you if you are sued for
- Defamation: If you are accused of making false or derogatory statements about another person, umbrella insurance can help cover your legal expenses.
- Malicious Prosecution: If you are sued for filing a false police report or making false accusations against someone, your umbrella policy can help cover your legal expenses.
Umbrella insurance is vital in case of a significant accident or catastrophic event. It can help protect you from financial damages for which you may be held responsible. If you’re looking for umbrella insurance, Perry Insurance Agency Vernal, UT can help you find the right policy for your needs. Give us a call today.