What Are The Benefits Of Umbrella Insurance?

Umbrella insurance can help you handle expenses that exceed your liability limits and pay for legal costs if you are sued. It can provide extra liability protection if your regular policy maxes out or cover a more comprehensive range of potential accidents or incidents. 

Sometimes, you may need an umbrella policy to protect assets not covered by other policies, such as an expensive piece of equipment or an art collection. Depending on your other insurance policies, you can usually purchase an umbrella policy for a very affordable rate. For help in Oro Valley, AZ, check with Old Pueblo Insurance. 

What to Know About Umbrella Insurance 

Umbrella policies provide additional protection above and beyond what you have in your regular insurance policies. They are there to protect you and your assets in a major accident or a series of smaller accidents that add up to a significant loss. An umbrella policy can help with the costs of legal representation, compensation for pain and suffering, and reimbursement for any expenses related to the incident, such as medical bills. 

Umbrella insurance is meant to provide additional coverage if you exceed the limits on your other policies or exceed a certain amount in claims within a year. For example, suppose you have a car insurance policy with a limit of $250,000, and you cause an accident that results in $300,000 in damages. In that case, your umbrella policy kicks in to cover the remaining $50,000. 

Bottom Line 

Depending on your needs, an umbrella policy can offer various benefits, including greater coverage limits, supplemental health care benefits, or liability coverage for various circumstances. 

In addition to providing greater coverage limits, an umbrella policy can act as a “backstop” for your existing insurance plan in the event it doesn’t cover a significant cost. Reach out to Old Pueblo Insurance in Oro Valley, AZ.