You might not think that liability is a big issue in Warwick, RI, but the truth is that no corner of America is exempt. Protecting yourself from lawsuits and the like can be a tricky business, so the experts at The Slocum Agency, Inc. have put this guide together to help you better understand umbrella insurance.
The Liability Breakdown
Umbrella insurance is often called excess liability insurance. That’s going to make sense in a moment. Homeowners and auto insurance policies include a certain amount of liability coverage. Most states even have minimum liability requirements. Umbrella plans don’t kick in until these existing liabilities are exceeded. Things are slightly more complicated than that because a lot of insurers don’t offer an umbrella policy until you have certain amounts of liability coverage (usually more than the minimum) from these other policies. It’s kind of like getting a premium channel from the cable company. They have progressive packages that build up to that channel instead of offering it directly.
Going the Extra Mile
That might feel a little complicated, but it actually makes things simpler. Your agent will help you assess your overall liability risk and compare it to the coverage in your home and auto plans. If you deem it worthy, they can help you get a personal umbrella plan. What you can note is that these plans are designed to help cover liability from any source (unless you have separate business insurance). That means one umbrella plan can be applied to auto accidents, home accidents, toy accidents (like on a boat), or a number of other issues. In short, most people only need one umbrella plan.
This should be enough to show that even in Warwick, RI, insurance can be a complicated mess. Whenever things feel less than obvious, you can always speak with your representative from The Slocum Agency, Inc. They’ll be happy to help you demystify any concepts and help you find comfort in your insurance plans.