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?
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!"
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!"
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