Accidents do happen. No matter how cautious you are, you could be sued because you injure someone or damage someone's property. Personal umbrella liability insurance protects your assets in these types of situations. It is designed to protect you against a catastrophic lawsuit by providing expanded coverage and supplementing the basic liability coverage provided by your homeowners/renters, auto, RV, and boat policies. Umbrella liability coverage protection is designed to kick in when the liability coverage on your other policies have been exhausted.

Not always. Once your primary insurance coverage runs out your personal umbrella policy kicks in. This is the case whether it is your homeowners insurance, car insurance, RV, or boat insurance. In addition, umbrella insurance covers many situations that typically are not covered by other liability policies.

Yes. Personal umbrella liability insurance is a supplement, not a substitute for these policies.

No. The coverage is designed to fill in the gaps of auto, home and other personal policies. It is for those who want to protect what they own and do not want to pay potential large legal fees. It provides piece of mind for everyone, regardless of financial condition.

Bodily injury liability covers the cost of damages to another person's body. Examples include the cost of medical bills and/or liability claims as a result of injuries to other parties due to a serious auto accident where you are at fault; harm caused to others as a result of your dog; injuries sustained by a guest in your home due to a fall; injuries sustained by a neighbor's child who falls while playing in your yard.

Property damage liability covers the cost of damage or loss to another person's tangible property. Examples include costs associated with damages to vehicles and other property as a result of an auto accident where you are at fault; damage claims incurred when your pet rips a friend's expensive rug to shreds; accidental damage to school property caused by your child.

Personal injury liability covers claims for false arrest (detention or imprisonment), libel (injurious written statement, slander (injurious spoken statement), defamation of character, and more.

Coverage limits start at $1 million and can go as high as $10 million for qualified applicants, and rates are lower than you may think. A lot of factors determine the amount of coverage you need. Your financial status (net worth), lifestyle, and existing coverage are all relevant. But in liability lawsuits, judgments can, and often do, exceed net worth. It really depends on your assets and budget. Some experts suggest carrying at least enough to protect your net worth.

A personal umbrella liability insurance policy can give one added liability protection without a large added cost. Additional liability insurance is often inexpensive, especially compared to the added coverage one gains. Prices vary based on the limit you choose; how many cars, homes, RV's, and boats you own; the existence of young drivers.

No. However, you might be able to benefit from decent discounts by combining all of your policies with one company.