Smucker Insurance Agency Inc. knows that insurance gets a bit complex at times. Umbrella insurance is one of those policies that takes a little explaining.
Umbrella insurance is a secondary insurance policy. You need to have a qualifying primary policy to obtain umbrella insurance. This can be any one of several policy types, including homeowner’s insurance, renter’s insurance, auto policies, or RV insurance. Any primary policy qualifies you for the secondary insurance of umbrella insurance.
What exactly does umbrella insurance do?
Your umbrella policy adds coverage to your liability coverage on the primary policy. You must already carry the maximum coverage on the primary policy for liability. Let us say your home policy lets you carry $1 million in liability coverage on your Plain City, OH home. You maximize that coverage, but you want more than that. You would like $2 million of liability coverage because you entertain regularly at your home which has both a swimming pool and trampoline. With so many opportunities for accidental injury, you want the added coverage.
Your Smucker Insurance Agency Inc. can help you obtain an umbrella insurance policy. This provides you the coverage you need. Umbrella only provides liability coverage. It not only extends the coverage you need, but $1 million in umbrella coverage also costs little. Secondary policies typically cost less in premiums.
When an accident does happen, your insurance primary policy covers it first. Once you exhaust the primary policy’s liability coverage, you can access the umbrella policy. That means the accident would have to have caused damages in an amount greater than $1 million. Your primary policy, your homeowner’s insurance, in this case, would pay out the first $1 million. After that, any amount still due to those injured would come out of your umbrella policy.
Let Smucker Insurance Agency Inc. serving Plain City, OH help you obtain the coverage you need. Call us today.