ALINK Insurance Services Blog
  • Blog Home
  • Contact
  • ALINK Website

Talking Point Tuesdays

2/5/2019

0 Comments

 

The Importance of Umbrella Insurance

A common question we often receive from our personal and commercial clients is – What is an umbrella, and why do I need it?
Picture
To put it simply, an umbrella provides you with additional or excess liability coverage over and above the limits you carry on your standard, underlying insurance. For a personal client, this is commonly your personal liability coverage attached to your home or renters insurance as well as your auto liability. For a commercial client, this can be a number of different policies and coverages, most commonly your general liability, auto liability, and employers’ liability, usually attached to your workers’ compensation policy.

Umbrella policies provide valuable additional protection against loss of your personal assets, income, and future earning potential. It pays when the limits on your underlying policies have become exhausted. For example, a common underlying personal auto limit $250,000 per person, $500,000 per accident, and $100,000 in property damage. What happens if you cause a multi-car pileup that results in the destruction of several vehicles, and injuries (or even death) to multiple people? There is a strong possibility that your insurance limits will not be sufficient to pay for the damages. Conversely, business auto limits are often written with $500,000 or $1,000,000 combined limits. This may not be enough in the event of a multi-vehicle, multi-injury accident. A lawsuit could cost tremendous hardship for you and your family, or your business.

Umbrella policies are available in $1,000,000 increments. Generally speaking, personal umbrella carriers can go as high as $5,000,000. Most commercial insurance carriers can go up to $10,000,000, with some carriers going even higher. Here at ALINK Insurance Services, we’ve written umbrella policies with excess limits over and above $30,000,000 for high risk clients.

The best part is that most umbrella policies qualify for a multi-line discount on the underlying insurance policies, making this insurance one of the most affordable on the market. A $1,000,000 limit can often be purchased for around $15 a month on personal lines, and $40 a month for commercial.

If you would like to learn more about how you can benefit from an umbrella policy, please call us to be connected with one of our insurance professionals.


​Denver Metro/Parker: 303-752-6479
Colorado Springs: 719-473-6262
Surrounding States: 877-643-6148


We are "Your Link to Security!"

0 Comments

Your comment will be posted after it is approved.


Leave a Reply.

    Archives

    November 2019
    October 2019
    June 2019
    May 2019
    March 2019
    February 2019
    January 2019
    December 2018
    May 2016
    April 2016
    March 2016
    February 2016
    January 2016
    December 2015
    November 2015
    October 2015
    September 2015
    August 2015
    July 2015
    June 2015
    May 2015
    April 2015
    March 2015
    February 2015
    January 2015
    December 2014
    November 2014
    October 2014
    September 2014
    July 2014
    June 2014
    May 2014
    April 2014
    March 2014
    February 2014
    January 2014

    Categories

    All
    Auto Insurance
    College Student Insurance
    Cyber Insurance
    Disaster Perparedness
    Distracted Driving
    Fall Home Maintenance
    Fall Maintenance
    Fire
    Flood Insurance
    Good Student Discount
    Hail Damage
    Holidays
    Home Insurance
    Home Inventory
    Home Security
    Identity Theft
    Independent Agents
    Inland Marine
    Insurance Checkup
    Jewelry And Valuables
    Just For Fun
    Life Insurance
    Long-Term Care Insurance
    Policy Shopping
    Rental Car Insurance
    Renter's Insurance
    Roadside Assistance
    Safe Driving
    Safety
    Safety Awareness
    Save
    Severe Weather
    Spring Home Maintenance
    Storm Damage
    Summer Safety
    Teen Drivers
    Watercraft Insurance
    Wedding
    Wedding Insurance
    Wellness
    Winterizing Your Home
    Winter Travel
    Winter Weather

    RSS Feed

Powered by Create your own unique website with customizable templates.