A single lawsuit could wipe out your savings, investments, or even your home. While your auto, home, or renters insurance provides liability coverage, their limits may not be enough in a major legal claim. That’s where umbrella insurance comes in. It offers affordable, high-limit liability protection beyond your standard insurance policies.
Why You Need Umbrella Insurance
Umbrella insurance acts as a financial safety net, covering costs that exceed your existing liability limits. Here’s why it’s a smart investment:
✅ Global coverage – Protects you anywhere in the world.
✅ Affordable – High coverage limits for a low cost.
✅ Protects your assets – Safeguards savings, home, and retirement funds.
✅ Covers legal fees – Pays for attorney costs and court expenses.
✅ Extra liability protection – Extends to family members and pets.
✅ Fills coverage gaps – Includes risks like libel, slander, and rental items (e.g., boats).
What Does Umbrella Insurance Cover?
Umbrella policies provide additional liability protection in key areas:
✔ Bodily Injury Liability – Covers medical bills if someone is hurt due to your actions.
✔ Property Damage Liability – Pays for damage you cause to someone else’s property.
✔ Personal Injury Claims – Protects against lawsuits for libel, slander, or defamation.
✔ Legal Defense Costs – Covers attorney fees, even if the lawsuit is groundless.
Who Should Get Umbrella Insurance?
If you have assets to protect, umbrella insurance is worth considering. You’re at higher risk if you:
- Own a home or rental properties
- Have significant savings or investments
- Own a swimming pool, trampoline, or dog (increased liability risks)
- Have teen drivers in your household
- Host frequent gatherings (higher chance of accidents)
Even if your assets don’t exceed your current policy limits, a lawsuit could demand more money than you have on hand, making umbrella insurance a smart precaution.
Can You Buy Umbrella Insurance Separately?
Yes! You don’t have to bundle it with your existing policies. Some reasons to buy standalone umbrella insurance:
🔹 Lower cost – Another insurer may offer better rates.
🔹 Broader coverage – Some policies cover more risks than others.
🔹 Flexibility – You can keep your current auto/home insurer while adding umbrella protection elsewhere.
However, bundling with the same insurer may simplify claims and provide discounts.
Need Help Deciding? Talk to an Expert
Every situation is different. If you’re unsure whether umbrella insurance is right for you, contact ONYX Insurance Brokers for a personalized review. We’ll help you assess your risks and find the best coverage for your needs.
