Your homeowners and auto insurance policies might not be able to protect you from catastrophic financial losses. Injuries or damages caused by the actions of you or a family member could exceed the limits on your insurance policy, leaving your assets and future wages vulnerable. An umbrella insurance policy could provide additional protection.

Auto Accidents

A car accident could cause serious injuries or property damage beyond your auto insurance policy’s limits. Anyone who was in the other car at the time, as well as their family or estate, could sue for medical expenses, lost wages and future earning capacity, pain and suffering, or loss of consortium, which is the loss of the benefits of a personal relationship. An umbrella policy could protect your home and other assets.

Injuries on Your Property

If a guest got hurt at your home, you could be held liable. Pools and trampolines frequently result in serious injuries. Your homeowners insurance policy might require you to install a fence around a pool to prevent accidents. If you are thinking about getting a trampoline, find out if your policy would cover injuries related to its use.

If your dog bit and seriously injured someone, the costs could exceed the liability limits of your homeowners insurance policy. An umbrella policy could help, unless your existing homeowner’s policy excluded bodily injury and property damage caused by a dog.

If you have a second home that often sits unoccupied, someone could trespass and get injured, and you could be held liable. A house that you rent out could also increase your risk of a lawsuit related to an accident. An umbrella policy could cover both your primary and secondary residences.

Professional Actions and Personal Decisions

If you coach or plan to coach a youth athletic team, the league that sponsors it may have liability insurance, but it might not have high enough limits to protect you individually if a participant or spectator got injured or if an accident caused property damage. An umbrella policy with higher limits could protect you from a lawsuit.

Comments or photos you posted on social media or things you said in a public forum could harm others and bring about a lawsuit. If you served on a nonprofit board and the entire board was sued for a decision it made, the organization’s insurance policy might not provide enough coverage to fully protect each member. In that case, a personal umbrella policy could give you additional coverage.

If you employ domestic workers, umbrella insurance could protect you from liability for accidents or injuries on the job. It could also provide coverage if you were sued for illegal employment practices.

Get a Quote for Umbrella Insurance

An umbrella insurance policy could significantly increase your coverage and protect you from financial ruin while only modestly raising your premiums. Petruzelo can help you compare quotes from several companies. Contact us today to learn more.