Today, lawsuits are everywhere. Lawyers are awarding
larger amounts of money than ever. Homeowners, auto, and watercraft
policies have a limit on liability insurance. If an unfortunate accident
should happen that is your fault, do you have enough liability insurance
from your current policies to cover your costs for negligence? Since
no one can predict how much a judge may award the injured person, umbrella
insurance is not just for the wealthy anymore, but a needed protection
for every policyholder.
Umbrella insurance is designed to give one added liability protection
above and beyond the limits on homeowners, auto, and watercraft personal
insurance policies. With an umbrella policy, depending on the insurance
company, one can add an additional 1-5 million in liability protection.
This protection is designed to "kick-in" when the liability
on other current policies has been exhausted.
Liability insurance is the portion of a homeowners or auto policy that
pays for expenses such as the injured persons medical bills, rehabilitative
therapy, and lost wages due to the negligence of the at fault person.
The liability portion of an insurance policy also covers a legal defense
representative if the negligence would happen to land the at fault person
in the court room. After adding up all of the medical expenses for the
injured and the legal fees of the negligent person, the standard liability
in one's homeowners or auto policy is often not enough. Almost every
state has financial responsibility laws that will hold drivers accountable
for bodily injury and property damage resulting from car accidents and
the at fault driver could be sued for the damage. Personal assets from
the at fault driver could be seized resulting from a lawsuit. Similar
laws are also in force for home and watercraft owners.
There is good news. A personal liability umbrella insurance policy can
give one added liability protection without a large added cost. Additional
liability insurance is often inexpensive, especially compared to the
added coverage one gains. Furthermore, liability insurance covers one's
non-business activities anywhere in the world. Having the added protection
of a liability umbrella policy is coverage no one should go without.
Umbrella insurance can give you additional liability protection above
and beyond your current insurance. Below is a list of questions typically
asked and information you will need to gather in order to complete an
umbrella insurance quote with your chosen insurance agent. If you have
not yet read Why Every Policyholder Needs Umbrella Insurance you will
want to do that first to determine your need for umbrella insurance.
Information You Will Need When Purchasing an
- First Name, Birth Date, Sex, Marital Status, Years Licensed, State
Licensed, and Occupation of all drivers in your household.
- Violation and Accident information for the last 5 years of all drivers
in your household.
- All the property you own including: Home, Auto, Watercraft, Recreational
Vehicles (RV's), Rental Units, Land, and Motorcycles.
- Information about your current insurance company including: Expiration
Dates and Losses and Claims in the past 5 years.
- The liability limit you are requesting which is typically 1-5 million.
Questions Typically Asked by the Insurance Agent When Purchasing
an Umbrella Policy:
- Besides your auto, do you own any other motorized vehicles like
motorcycles or mopeds?
- Do any drivers in your household have mental or physical impairments?
- Are you in the farming business?
- Do you have any employees at your residence?
- Are you caring for any property that is not your own and it exceeds
- Are there any business activities conducted at your home or in any
property that you own?
- Do you have any non-owned business or professional endorsements
on your current insurance policies?
- Do any of your current insurance policies have reduced liability
limits or exclude coverage for specific events?
- Within the last 5 years, have you been denied insurance coverage
or been canceled or not renewed?
- Are there any drivers on your current insurance policies under the
age of 25?
- Do you own, lease, or charter an aircraft?
- Do you use your property, vehicles, watercraft, or aircraft for
- Do you have any vehicles, watercraft, aircraft, or property that
is owned, hired, leased or used on a regular basis that is not covered
Umbrella insurance refers to a liability insurance policy
that protects the assets and future income of the policyholder above
and beyond the standard limits on their primary policies. Umbrella Insurance
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 insurance 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 a homeowners insurance policy with a limit of
$300,000, then with a million dollar umbrella, the insured's limits
become in effect, $1,500,000 on an auto liability claim and $1,300,000
on a homeowners 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
- Invasion of privacy
To really feel secure about protecting your assets and your future,
you may need the extra level of protection provided by redirect.com’s
vendors of personal umbrella liability insurance.
What's Peace of Mind Worth to You?
An umbrella policy provides additional layers of liability protection.
If the liability limits are exhausted on your home, auto, or other underlying
insurance policy, your umbrella insurance policy takes over and provides
you with additional protection. The cost is minimal compared to the
comfort of knowing you're covered.
Do You Have Enough Liability Insurance?
Imagine if your dog were to bite a neighbor's child. Or if there's an
accident on your rental property. Or a fire in your condo spreads to
other units. What would happen if you or a family member missed a stop
sign and struck and killed a pedestrian? 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—or your future earnings.
Lawsuits Are Not Limited to Your Net Worth
A lot of factors determine the amount of coverage you need. Your financial
status, lifestyle, and existing coverage are all relevant, but in liability
lawsuits, judgements can exceed net worth. Talk to your Safeco agent
to determine what's right for you.
You May Already Qualify
To qualify for our umbrella insurance coverage, you must carry auto
insurance with specified liability limits. Your home insurance,
condo insurance or renter’s insurance policy must also include
certain limits of liability coverage. The same applies if you own an
RV, Boat or other types of watercraft. Other conditions may apply.
Liability Insurance Starts When the Others Stop
Once the liability limits are exhausted on your home, auto, or other
policy your Umbrella policy takes over and provides a second layer of
protection of at least $1,000,000. Higher limits are available.
An umbrella insurance policy also pays some claims not covered by your
home, auto, or other underlying insurance. The policy covers not just
you but your spouse and all family members living in your household
anywhere in the world. Legal defense fees are also paid.
Savings to You
Considering the extra security and protection it provides, personal
umbrella liability insurance is surprisingly reasonable. The average
cost is just pennies a day.
How an umbrella policy works
An umbrella policy provides an additional layer of liability protection
that can be used with any underlying policy or a policy from another
insurance company, including boat, motorcycle, all-terrain vehicle and
snowmobile. It kicks in when the underlying or primary policy doesn't
provide sufficient liability protection.
A $1 million Umbrella policy, in most cases, is less than $200 for an
Who could benefit from an umbrella policy?
What instances use an umbrella policy?
- Drive a car or let someone else use their car
- Host dinner parties or other gatherings
- Participate in carpools or other group activities
- Own a home, rental properties or multiple residences
- Have young drivers in their household
Nearly 85% of payments on umbrella claims are related to auto accidents,
and over the past 12 months, 30% of those claims involved a pedestrian,
motorcycle or bicycle. Below are a few examples of recent claims, all
of which required a payout of more than $1 million. That's much higher
than any auto policy limits, so consider an amount of coverage that might
be right for you.
What makes Rogers Insurance Umbrella Insurance Division a great
choice for you?
- Customer hit gas instead of brake by mistake and ran through the
front of a restaurant, seriously injuring several people.
- Customer didn't see a motorcycle and pulled out, causing the motorcyclist
to hit the side of the customer's car.
- Customer's car went off the road. The driver overcorrected, causing
the vehicle to roll multiple times.
- Customer's son was allegedly driving under the influence and hit
- Customer accidentally set a fire in his apartment which spread to
- Customers can select from $1 million to $20 million or more in additional
- We have carriers that offer a "true" umbrella policy while many
other carriers only offer an "excess" umbrella product. This means
certain carriers may cover other losses that otherwise would not be
paid at all such as an auto accident in another country or libel or
- Some of our umbrella products are open peril, so if it's not specifically
excluded, then it's covered!
- Customers may be eligible for a discount on their homeowners policy
and/or auto policies
Rogers Insurance Services, Inc.
156 Diablo Road, #210
Danville, CA 94526
Phone: 925-365-3200 / Fax: 925-226-1422
E-Mail us at: quote@RISdirect.com
California License # 0C94234