Personal Umbrella Insurance in Denver, CO
Personal umbrella insurance is liability coverage that supplements existing insurance policies. It kicks in when the liability limits of primary policies are exhausted. For example, if a car accident you cause results in damage that exceeds the coverage provided by your auto insurance liability coverage, umbrella insurance can cover the remaining costs, up to the policy’s limit.
And, this coverage is not limited to auto-related incidents. It can also help with liability claims involving property damage, personal injury, libel, slander or false arrest. Umbrella insurance is designed to safeguard assets and future earnings, making it particularly valuable for individuals with significant savings, investments or high income potential.
Who Needs This Coverage?
Anyone who owns property, drives a vehicle, hosts guests or engages in activities that could result in liability claims may benefit from this coverage. A single lawsuit can result in financial judgments that far exceed the limits of standard insurance policies. Without umbrella coverage, individuals may be forced to pay out of pocket, risking their savings, retirement funds and other assets.
Moreover, umbrella insurance is relatively affordable. Premiums are modest compared to the potential financial exposure.
How Umbrella Insurance Works
Umbrella policies are triggered after the limits of underlying policies are reached. For instance, if a homeowner’s insurance policy covers up to $300,000 in liability and a claim results in $700,000 in damages, the umbrella policy may cover the remaining $400,000, assuming the umbrella limit is sufficient.
Personal umbrella insurance does not cover everything. It typically excludes intentional acts, business-related liabilities and damage to the policyholder’s property. Consumers should review policy terms and consult an insurance professional to ensure appropriate coverage.
Learn More
Contact JJ Insurance to learn how umbrella insurance can help safeguard your financial stability. Our agents can help you understand your options and compare personalized quotes.