Umbrella insurance refers to a liability insurance policy that protects the assets and future income of the name insured in addition to his or her primary policies. It is distinguished from excess insurance in that excess coverage goes into effect only when all underlying policies are totally exhausted, while umbrella is able to "drop down" to fill coverage gaps in underlying policies. Therefore, an umbrella policy can become the primary policy "on the risk" in certain situations. The term "umbrella" refers to how the policy shields the insured's assets more broadly than primary coverage.
Typically, an umbrella policy is pure liability coverage over and above the coverage afforded by the regular policy, and is sold in increments of one million dollars. The term "umbrella" is used because it covers liability claims from all policies underneath it, such as auto insurance and homeowners insurance policies. For example, if the insured carries an auto insurance policy with liability limits of $500,000 and commercial insurance policy with a limit of $500,000, then with a million dollar umbrella, the insured's limits become in effect, $2,000,000 on an auto liability claim and $1,500,000 on a commercial liability claim.
Umbrella insurance provides broad insurance beyond traditional home and auto. It provides additional liability coverage above the limits of homeowner's, auto, and boat insurance policies. It can also provide coverage for claims that may be excluded by the primary policies. These may include, but are not limited to:
False arrest
Libel
Slander
Invasion of privacy
When considering your needs for insurance products for your home or business consider contacting Bennett Insurance Group at 623-979-4140
Presented By:
Jim Bennett
Bennett Insurance Group
623-979-4140
http://jimbennettinsurance.com
jim@jimbennettinsurance.com
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ReplyDeleteNever have a person heard of the popular account exactly where another person got sued regarding plenty but the insurance provider surely could just pay 62 percent with the sum roughly? Suppose that you'll be sued by other people along with the judge accolades your pet a lot better settlement compared to everything you can pay for. Quite simply, Trucking Insurance provider has the ability to ugg upwards what can which is less than what the judge guided one to have for another gentleman. Right now a person, the coverage loop, has got to pay out further sum through his own pants pocket.
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