What exactly is an umbrella policy? Why would I need one?
Fortify Group agents are asked these questions often.
Think of it this way: Your ‘regular’ home or auto insurance policies offer the coverage one expects to need in standard insurance situations, such as a car accident or hail damage to your home.
Umbrella policies offer extra liability coverage for the times when it’s pouring rain, so to speak.
It’s an extra layer of monetary protection -- $1 million to $5 million -- in the event of major claims and lawsuits. These policies are surprisingly affordable - often costing less than the average plane ticket while providing at least 1 million in coverage.
Almost everyone should consider this coverage. It not only protects assets but future earnings. No one expects to be sued. But if you are held legally liable for certain injuries or property damage, an umbrella policy will be there to assist with paying the settlement you are held responsible for.
Landowners, in particular, should consider this option – with recent area land values rising to $10,000 per acre, it may take a multi-million dollar umbrella policy to ensure you retain your land.
This is also a key tool for parents of young drivers. The split-second decisions of an inexperienced driver can ultimately affect you financially, as parents can be held liable for the actions of their dependents.
Talk with your Fortify Group agent to learn more about this important coverage.