Much like an umbrella, this appropriately-named insurance policy helps provide you with a canopy of protection against catastrophic financial events. Picture this:


  • The paper-boy falls down your front steps and successfully sues you for $2 million. But your homeowners insurance tops out at $500,000.
  • Your wife is at fault in a major car accident, harming several people and causing damage well in excess of your $300,000 car insurance coverage limits.
  • Your dog bites and seriously injures your neighbor and YOU are liable for the extensive medical expenses.

These are just a few horrible situations in which a personal umbrella policy could come to the rescue by providing additional coverage up to the limits of your umbrella policy.  In other words, once your primary insurance coverage runs out—whether it’s your homeowner’s insurance, car insurance, or boat insurance—your personal umbrella policy kicks in. Plus, it may cover many situations that typically aren’t covered by other liability policies.