Did you know?…. The United States is already the most litigious society in the world. We spend about 2.2 percent of gross domestic product, roughly $310 billion a year, or about $1,000 for each person in the country on tort litigation, much higher than any other country.
If you are ever sued, your standard homeowners or auto policy will provide you with some liability coverage, paying for judgements against you and your attorney's fees, up to a limit set in the policy. But, given the statistics on how much is spent in the U.S. on law suits, you may want to have an extra layer of liability protection for yourself and your family, personally, and perhaps more importantly, your small business. That's what an umbrella liability policy provides.
An umbrella policy kicks in when you reach the limit on the underlying liability coverage in a homeowners, renters, condo or auto policy or your small business Business Owners’ Policy. It will also cover you for things such as libel and slander. Perhaps most importantly, if sued, the insurance company provides the legal representation for you and your business.
For about $150 to $300 per year you can buy a $1 million personal umbrella liability policy. The next million will cost about $75, and $50 for every million after that. Business umbrella policies cost from $500 to $1,500 annually for $1,000,000 in coverage, depending on the type of business and how large a business you have.
Because the umbrella policy goes into effect after the underlying coverage (from home/auto/business owners’) is exhausted, there are certain limits that usually must be met in order to purchase this coverage. You should check with your insurance agent on what these underlying limits need to be and what the specific cost of an umbrella policy would be for your needs. We would be very happy to quote a policy for you whether or not we carry your underlying coverage.
Please contact us for a quote on homeowners’, auto, personal umbrella, flood or any other personal insurance coverage.