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Home > Blog > Umbrella Policy
WEDNESDAY, AUGUST 12, 2020

Umbrella Policy

An umbrella policy protects your existing personal assets and future personal assets (like wages and your inheritance) against the cost of losing a lawsuit over a car accident or an accident on your property. An umbrella policy picks up where your auto and homeowners insurance policies leave off. An umbrella policy provides excess coverage above and beyond what is provided by your homeowners and auto insurance policies. As an example, let's say your home insurance pays $500,000 of expenses per claim and your umbrella policy is for $1 million. If you are sued for $900,000, your home insurance would pay $500,000 of the damages and your umbrella policy would pay the remaining $400,000. -investopedia.com
Posted 11:25 AM

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