What is an umbrella insurance policy?

You might have heard something at some point or another about umbrella insurance and were thinking, "What is umbrella insurance?" Umbrella insurance is a term that many people are unfamiliar with, but if you have ever been the defendant of a lawsuit, you might have some idea of why it is important. Continue reading or contact an agent from PorchLight Insurance in Tigard, OR to learn more about umbrella insurance and why it might be important for you.

Umbrella Insurance Defined

Umbrella insurance provides an additional layer of liability insurance. It can help protect you from lawsuits and other claims against you. It helps to protect your personal assets and the integrity of your future. These are two ways this kind of insurance can help you.

What Does Umbrella Insurance Do?

One way it protects you is by providing the extra liability coverage above any limits of other policies including homeowners, auto, and boat policies. It will kick in once the limits have been reached on those insurance policies. Another way it helps is by providing the coverage for claims that might have been excluded by your other policies in their terms. This can include things like slander or libel, false arrest, and even the liability coverage of rental property. 

What is Covered?

Injuries, damage to property, certain kinds of lawsuits, personal liabilities, and other situations can be covered by these policy types. Various claims can be filed against you where you are considered at fault, and umbrella insurance can hedge against these circumstances. You might have to cover damage to property as the result of an accident and umbrella policies can help here too. There are many similar scenarios. For specific questions on coverage and policies, you should contact an agent at PorchLight Insurance in Tigard, OR.