Umbrella Insurance

One of the Most Important Coverages You Could Own

It happens. You’re involved in an automobile accident. One car was totaled and your car was badly damaged. Unfortunately there were injuries sustained to the driver and passengers in the other car. Medical bills; auto repairs; auto replacement; and then a $2 million lawsuit. Unfortunately, you have the typical $250,000 in auto liability insurance. You are liable for the rest. Where will you get the money?

A similar situation could occur with similar medical and legal liabilities should someone be injured on your property, even if it’s just an unfortunate accident.

While the typical maximum auto or homeowners insurance liability limits are $500,000, an umbrella policy may be purchased to provide liability protection up to $5 million or more, an amount that is more in line with today’s aggressive lawsuits.

An Attractive, Affordable Add-On

Umbrella insurance is very affordable given the amount of protection you receive. Most umbrella insurance policies are sold in million dollar increments up to about $20 million. A $1 million policy will cost you as little as $150 – $300 per year and the cost per million dollars of coverage will decrease as the value increases.

The Butwin Insurance Group strongly recommends you consider purchasing an umbrella insurance policy with $1 million to $10 million in coverage, or more. The additional cost is minimal when you combine it with an auto and homeowners insurance and, given our increasing litigious society, it may be the most important insurance you can buy to protect you from financial ruin.