How Can Umbrella Insurance Protect Your Interests?

Umbrella insurance provides liability protection above and beyond the limits of your home, auto or boat insurance. This extra protection can safeguard your assets from a major lawsuit or claim. With umbrella coverage you also get protection against false arrest, slander, libel and liability claims on rental property you own. Here are a few ways umbrella insurance from The Insurance Outfit, Chester, NJ, can protect your interests.

Protects Current Assets

If you live an active lifestyle or travel extensively, you’re at greater risk of causing an accident, either at home or on the road. A pool party for your children could turn into a disaster if a neighborhood child suffers complications from a near drowning. An autumn road trip could have serious repercussions if you’re held liable for a major accident on the road.

Without umbrella coverage, you’d be responsible for paying damages that exceed your auto or home insurance limits on your own. These expenses could cut into your personal assets such as savings or retirement funds. You may even have to mortgage your home to meet these financial obligations.

By purchasing umbrella coverage, you need not worry about depleting your assets to pay for large liability claims that may arise.

Protects Future Earnings

Umbrella insurance protects you against lawsuits that could deplete your current assets and affect your future earnings. Lawsuit settlements can range anywhere from a few thousand to hundreds of thousands of dollars. Without umbrella coverage, you could have future earnings garnished to help pay for settlement costs.

Umbrella insurance protection starts at approximately $1 million and can extend as high as $5 million, depending on your policy. Umbrella policies are also affordable, making them a practical insurance option. To learn more about umbrella insurance, coverage and costs, contact a local agent from The Insurance Outfit, Chester, NJ.