Do I Really Need Umbrella Insurance?

August 27, 2015

With so many insurance policies out there, you may sometimes wonder, do I really need this protection plan?


An umbrella insurance policy is there to help provide additional layers of liability protection. If the limits on your home, auto, or other insurance policy plans are exhausted, your umbrella insurance policy will take over and provide you the protection you need.

Umbrella insurance can also provide coverage for those claims that may not be protected under other liability plans, such as slander, libel, invasion of privacy, or false arrest.

The policy not only covers you, but it can also cover your spouse and all family members living in your household.

What Does Umbrella Insurance Cover?

Still feeling a bit confused on what umbrella insurance covers? Let’s look into what umbrella insurance usually covers.

A typical umbrella insurance policy covers the following:

  • Injuries
  • Damage to property
  • Lawsuits
  • Personal liability situations — bodily injury liability, property damage liability, owners of rental units, invasion of privacy, slander, libel, etc.

Let’s Look at an Example!

Imagine what would happen if your dog was to bite a neighbor’s child, or if there was a big accident on your rental property. What would happen if a fire in your condo spread to other units?

If any of these things happened to you, there’s a good chance your current liability limits wouldn’t be adequate to protect your assets.

With the help of an umbrella insurance policy, you and your belongings would be protected from any liability lawsuits put towards your name.

The right umbrella insurance policy could help protect you and your family during a time of need. Contact Guffey Insurance Agency today to find out more information about the best umbrella insurance policy for you.

Photo Credit: CC Image Courtesy of Kieran Clarke