Everything Has Limits. Even Insurance

Everything has limits. Even insurance. You may feel you are adequately covered with your auto insurance and homeowners insurance policies already in place, but even that much coverage might not be enough. Those policies have limits on what they cover. When you need insurance the most is the worst time to discover you don’t have enough.

A bad car accident or severe injury to someone on your property may cause you to hit those limits pretty quickly. When that happens, your umbrella insurance policy will step in and make sure that you’re covered.

In Massachusetts, umbrella insurance provides additional liability coverage beyond the policy limits of your automotive and homeowners insurance. It may seem extreme, but that’s because the possible consequences of being underinsured are, in fact, extreme. The added protection you get with umbrella insurance could mean the difference between keeping and losing all of your assets, including your home, as a result of a lawsuit.

Although umbrella insurance policies are very affordable, like all insurance, numerous factors can affect annual premiums. You may be surprised to learn your driving record can influence the cost of umbrella insurance as much, if not more, than your record as a homeowner.

Consider the following factors when considering umbrella insurance. If you’re on the list below, chances are you need a good policy:

• The higher your net worth, the more coverage you need.
• Your potential exposure to lawsuits increases if you’re a business owner.
• Your profile. Think LinkedIn, not Facebook. CEOs, celebrities and politicians are more likely to face lawsuits since they are perceived to have deep pockets.
• Dangerous equipment. The neighborhood kids are more likely to get injured at your home if you own a pool, trampoline, jungle gym or anything else that can be fallen from or into.

We know this is a tough one. Considering a Massachusetts umbrella policy when you thought you already had enough insurance is frustrating. Luckily, we can help. We won’t sell you anything you don’t need. Contact us and find out if you’re truly covered properly.