How Does Umbrella Insurance Work?

Umbrella insurance is personal liability insurance that will kick in if your claim is larger than your homeowners or auto insurance coverage limit. Umbrella insurance can also cover additional liability that may not be included in these policies, such as libel, slander, and false imprisonment. Umbrella insurance cannot be purchased separately. It must be purchased as additional coverage when you already have homeowners and auto insurance in place.

Many things could happen that could cause you to get sued, to the point where your home insurance is not enough. This could include your dog attacking a neighbor, your daughter getting into a fight at school, causing a ten car pileup while driving, or your teenager throwing a house party that breaks multiple things in the house or injuries that gets you sued by party guests or when someone gets a DUI. If any of these events happen and your primary coverage is not enough, then umbrella insurance comes into the picture.

Court Fees

If one of these things happens and you get sued, and the jury sides with the person who sued you, you will have to pay damages. If those costs were to reach $1 million, but your homeowner’s insurance only covers $500,000, you would be on the hook for that additional money. Without umbrella insurance, money may come out of retirement accounts, savings, or future wages will be taken.  

It can be hard to determine if you need umbrella insurance, but it can’t hurt to have it because of the risks we face in day to day life. If the total value of your assets is greater than the limits on your home insurance, then it’s smart to purchase the additional coverage. An insurance agent at Armor Insurance Group in Virginia Beach, VA can help determine your risk and how much additional coverage you should purchase to protect your assets.

Contact Armor Insurance Group serving Virginia Beach, VA, to get a quote on umbrella insurance.

How to Determine How Much Boat Insurance You Need

If you own a boat in El Centro, CA, one of the things you should consider getting as well is boat insurance. However, the follow up question to this that people make to Armorcrest Insurance Services is when should they buy and how much coverage should they get. The first question can be answered by saying that you should always have boat insurance on your boat. However, determining how much boat insurance you need can be a bit more expensive. 

When you are trying to figure out just how much you should insure your boat for, there are two things that you want to look at. The first is the value of the boat. If you were to lose it today, how much would you have to pay to replace it or a version that is similar to it? Once you know that number, you can add that to the insure amount. Next, you want to consider liability. If you will have anyone else on the boat that is not insured, you want to have additional liability insurance to pay for any medical bills or a lawsuit in the case of an accident. Accidents can happen at any time and you want to make sure you are covered at least to a reasonable amount so an accident does not bankrupt you. 

Now that you have a better idea of how much boat insurance you should have, the next step is getting that insurance put into place. Be sure to reach out to us here at Armorcrest Insurance Services, serving El Centro, CA, to get started on your insurance quote today. We can help you refine your coverage amount as well as make sure that your policy is in line with your budget.