Owning a home, car, or small business comes with many responsibilities. Unfortunately, it also comes with an increased risk of financial loss. That’s why it is essential to consider investing in umbrella insurance to protect yourself and your loved ones from unexpected events. Here we will discuss why people choose umbrella insurance in Foley, AL, and why a policy from Southern Risk Associates can benefit you.
What is Umbrella Insurance?
Umbrella insurance is additional coverage that supplements existing auto, home, or business policies. It offers extra liability protection above and beyond what your base policy covers. This type of insurance can help protect you financially if an accident occurs on your property or someone sues you for damages not covered by your primary policy.
Common Reasons People Choose Umbrella Insurance
1. Accidents Happen:
You never know when a slip-and-fall accident may occur on your property or if you accidentally cause damage to someone else’s property. If this happens and the damages exceed the limits of your current policy, umbrella insurance can provide you with additional protection against potential financial losses.
2. Legal Protection:
If you are sued for any reason, an umbrella policy can cover legal fees and other costs arising from defending yourself in court. It can also offer additional coverage if a court awards the plaintiff more money than what was covered by your primary policy limits.
3. Additional Coverage:
Umbrella policies often provide additional coverage, such as libel and slander, false arrest, malicious prosecution, and certain watercraft liability coverage. This means that even if these items are not included in your primary policy, an umbrella policy may still cover them, depending on the terms of the contract.
Give Us A Call
If you want more information about this type of coverage or want to explore options available in the Foley, AL region, contact us at Southern Risk Associates today.
Umbrella insurance is a personal insurance policy that provides protection over and above the limits of policies such as auto, home, and other personal liability coverage you already have. The umbrella policy can help protect you from claims made against you for bodily injury or property damage resulting from an accident for which you were legally responsible.
Does An Umbrella Insurance Policy Cover Damage To Your Property?
Personal umbrella insurance does not cover damage to the insured’s property. This type of policy is meant to protect from liability claims. In no way does an umbrella policy provide coverage for the replacement or repair of anything that belongs to you, such as a car or personal belongings. You can consider it as your last line of defense if you are found liable for damage to another person’s property or injuries they have sustained.
Suppose you’re looking for insurance that covers damage to your belongings. In that case, you’ll want to look into a renters or homeowners insurance policy as your umbrella insurance will only cover the costs of legal fees and liability limits on other policies.
Umbrella insurance can also help if you’re sued for:
Slander or libel: Slander is spoken defamation, while libel is written or broadcasted defamation. The umbrella policy will help protect your personal assets if you’re sued for communicating false, malicious information about someone.
Malicious prosecution: If you’re found liable for initiating a case against someone, your umbrella policy can help protect you from their legal fees or damages to their property.
False arrest: This is when an individual has been taken into custody without proper cause or evidence. Your umbrella insurance will help cover the costs of any legal action that results from this false arrest.
It is important to know what umbrella insurance covers and doesn’t cover. It is easy to assume that your standard policy will automatically protect you in the cases mentioned above. Contact Southern Risk Associates today for more information or to purchase an umbrella insurance policy in Foley, AL.