Umbrella Insurance

What is an Umbrella Policy?

The most inexpensive way to protect your assets and future wages is through an excess liability or “umbrella” policy.  This is simply an extension of your auto, home, watercraft, recreational vehicle and/or rental property (assuming it is owned in your personal name) liability coverage.

At the beginning of my career, a young driver and policyholder flipped his SUV causing him minor injuries.  Unfortunately, his friend had become a quadriplegic.  The reality is that this sort of thing, although rare, happens.

Had his parents not had a $5,000,000 umbrella policy to protect their assets, this could have been even worse.  In this scenario, the first $250,000 came from their auto policy while the remaining $4,150,000 came from their $5,000,000 umbrella.  Total damages were $4,400,000.

Other scenarios that can occur:

  • A kitchen fire causes damage to other units in your condo building. This can be the result of fire, smoke or even water damage from the sprinklers or from the fire department.
  • A mail person slips on ice while on your front stairs because you shoveled the snow – but neglected to apply salt.
  • You injure someone with a ball while on the golf course.
  • While walking your dog, it bites a young child passing by.
  • A passenger in your boat falls overboard causing serious injury.

The cost for an umbrella is very inexpensive with limits up to $50,000,000.

Request a Quote

Consult with one of North Shore Risk Management’s professionals to make sure you have the proper coverage.