ALLConnecticut Insurance is here to help our West Hartford, CT customers make wise choices. Understanding the basics of umbrella insurance can help you understand whether it’s a good investment for you.
What is Umbrella Insurance?
Umbrella insurance is ‘excess liability insurance.’ If you are found at fault in a claim that exceeds your policy limits, your assets will be protected by this additional coverage. For that reason, you can also think of it as asset protection.
What Qualifies as Assets?
You may be surprised at what qualifies as assets that can be seized or garnished if you are found at fault. It can include:
- Homes & other properties
- Business assets
- Vehicles
- Financial assets, including investments, checking, and savings
- Estimated future income
Who Should Consider Umbrella Insurance?
Umbrella insurance isn’t for everyone. The extra cost may not make sense if you have limited assets and don’t expect them to grow significantly. However, some of us are at higher risk. That includes people who:
- Have a robust financial portfolio
- Own a trampoline or pool.
- Anticipate a strong future income.
- Own property.
- Own a business.
- Coach youth.
- Enjoy outdoor sports like boating, skiing, or hunting.
- Own dogs, horses, or other large animals.
- Enjoy hosting events on your property.
- Serve on a board.
Three Key Reasons to Consider an Umbrella Policy
So, when is umbrella insurance a good choice?
- Your lifestyle includes higher risk.
- You have significant assets to protect.
- You have children or higher risk exposure through your work.
Umbrella insurance may be worth considering to protect your assets and future financial stability. If you have questions, call or stop by ALLConnecticut Insurance today. Our friendly staff proudly serves the West Hartford, CT area and is happy to answer your questions.