How Does Umbrella Insurance Work?

Umbrella insurance is a type of coverage that works with other policies that you have. It is a unique type of insurance that can save you money while giving you more coverage for liability. If you need umbrella insurance, call us at Old Pueblo Insurance in Oro Valley, AZ for more information about this type of coverage. 

Existing Liability Insurance

Before you get umbrella insurance, you must have both auto and home insurance in place. Both of these types of insurance include several different types of coverage, and one of those is liability insurance. This coverage protects you against accidents and other incidents that happen in your home or because of your vehicle. If you are found to be liable for the accidents, the liability portion of your home or auto insurance will pay the medical and other bills that you owe. However, the liability maximum payout amount with these insurance types are relatively low. That’s where an umbrella policy comes in.

Umbrella Insurance

Umbrella coverage is like an extra layer of liability protection that is laid over your home and auto policies. When those policies have paid out their maximum amounts, the umbrella policy comes in and pays more liability up to its own maximum. The maximum is many times higher than the standard amounts from home and auto policies. And, it costs less to get an umbrella insurance policy than it would increase the liability coverage of your home and auto policies. 

Talk to an Insurance Agent

If you have home and auto policies and you want an umbrella insurance policy, call us at Old Pueblo Insurance in Oro Valley, AZ to speak to an agent about your insurance needs.