What Is Umbrella Insurance?

umbrella insurance marylandMost individuals typically overlook umbrella insurance in Maryland because they believe it’s unnecessary. While you may never be sued over an auto accident or injury that is your fault, you can never be too prepared—because the moment you’re sued you will wish you had enough coverage.

More Protection Than You Have

To make sense of an umbrella insurance policy, consider your current auto insurance policy. That policy will only cover expenses to a certain amount, such as $100,000 or more, even with liability insurance.

Most expect to not exceed that amount, but what if you cause an accident that leaves someone seriously injured and they need continual medical attention for years? How are they going to pay those expenses? Well, they’re probably going to expect you to pay because you were responsible.

Eventually those expenses add up and you could be in debt by $1 million or more and that greatly exceeds your regular auto insurance coverage. And now you’re scrambling to find the extra cash.

Umbrella insurance in Maryland protects you in these situations. If you cause a serious accident or someone gets hurt on your property and sues, you’re protected up to much higher amounts. This way you don’t have to tap into savings, retirement or assets to pay off the expenses of an accident.

Umbrella for More Than Auto Accidents

Although 85 percent of umbrella insurance claims are in regards to auto accidents, the remaining 15 percent are in regards to accidents on your property. For example, you may have a pool at your home or other recreational area. If someone gets hurt on your property, they could sue you for substantial amounts.

If you don’t have umbrella insurance, then you could be sunk in debt. This is why many homeowners who have recreational areas at their home also have umbrella policies for potential accidents.

It’s always important to be over prepared than under prepared in these scenarios. While you may never be sued, the situation still exists and people lose tremendous amounts of money in injury lawsuits when they aren’t prepared.

We’ll Help You Prepare

We understand umbrella insurance policies may be a new to you and that’s okay. If you’re considering this type of policy or just want to ask more questions about the policies we offer, we will be more than happy to speak with you.

We want you to be covered and protected so you don’t fall into debt unexpectedly. Let our team of insurance experts help secure your finances and assets from potential disaster.