Most people think that if they have insurance, they are protected from any legal issues that might come up. However, what many people don’t know is that there are different types of insurance policies, and each one has its own specific purpose. One type of policy that is often overlooked is umbrella insurance. Consult with Lana Insurance Center Inc. in Wallingford, CT is here to provide a guide.
Umbrella Insurance: What You Need To Know
Umbrella insurance is a policy that provides extra coverage for incidents that fall outside the scope of your other policies. So, who should get umbrella insurance? How does it work? What are the benefits? And how much does it cost?
First of all, it is important to understand that umbrella insurance is not intended to replace your other insurance policies – rather, it is meant to be an extra layer of coverage for those rare situations. For example, if you are involved in a car accident and are sued for property damage or bodily injury, your regular auto insurance policy will typically cover you up to a certain limit. However, if the damages from the accident exceed that limit, you could be held legally responsible for covering the difference. This is where umbrella insurance comes in – it provides an extra layer of protection if you are ever sued and your other policies cannot cover all of the damages.
There is no one-size-fits-all answer to who should get umbrella insurance, as the decision of whether or not to purchase umbrella insurance depends on a variety of individual factors. However, in general, it is probably a good idea for people who have significant assets or net worth to purchase an umbrella insurance policy.
Get The Right Coverage Today
If you have any questions about your policies or are interested in exploring umbrella insurance, call Lana Insurance Center Inc. We serve the Wallingford, CT area.