Who needs to carry umbrella insurance

Umbrella insurance is one of the most misunderstood types of insurance. Many people are not quite sure exactly what it is and who needs to carry it. The name umbrella gives an accurate visual of what the insurance does. It offers liability protection the same way that a physical umbrella protects against the elements. An important aspect of umbrella insurance is that it is not a policy that you can purchase unless you already have a primary policy that offers liability coverage. At Janis-Shunta Insurance in Muskegon, MI, we have the experience to help you to understand what an umbrella policy can do for you. 

So who needs to carry umbrella insurance? Anyone who has any assets can benefit from umbrella insurance. What it is in simple terms is excess liability insurance. If you are involved in legal action, someone suing you, it adds a layer of coverage to what you already have through your primary policy. What happens is your home or auto policy will pay any judgment and legal expenses up to the limit on that policy and then the umbrella policy will kick in.

You have worked very hard to accumulate the assets that you have. If you get sued for an amount beyond the limits of your primary policy and you don’t have an umbrella policy to protect you, you are responsible for the additional amount of the judgment out of your own pockets. Depending on how deep your pockets are, you could be forced to sell your assets and your future wages could even be garnished. Not something most people want to think about. An umbrella policy adds between one and five million dollars to your liability coverage. 

An umbrella policy is an affordable way to protect your assets. Call Janis-Shunta Insurance in Muskegon, MI to get a no-obligation quote. We can give you the peace of mind you deserve.