Umbrella Insurance Helps Protect Your Assets
Umbrella policies are a good option for many people, particularly those who may need additional coverage for a short period of time. A typical umbrella policy will cover a named individual or group of individuals if the primary policyholder becomes ill or injured and needs to be covered by a secondary policy. In some cases, umbrella policies may cover the policyholder while at sea, while performing certain activities or while traveling abroad on business. An umbrella policy can even protect the policyholder in the event of his or her death. Regardless of the reasons for needing an umbrella policy, they are easy to obtain and very flexible.
Umbrella policies fall into two categories: Covered Umbrella and Not Covered Umbrella. Covered Umbrella policies will pay the policyholder’s claims for any loss or damage, as long as the claim is not caused by negligence or a pre-existing condition. For example, if someone was injured by a defective product and was injured as a result, then the policy would cover him or her for that loss or damage. However, if that same product had been used by another person while working without a safety concern and did not cause any injury, then the policy would not pay out for that loss or damage. An example of a covered umbrella policy might be a life insurance policy that protects the policyholder’s family in the event of his or her death because of a pre-existing medical condition. The insurance company might pay a lump sum payment equal to the face value of the policy holder’s life insurance policy in the event of such a tragedy.
Not covered umbrella insurance covers a list of circumstances, which includes any legal or physical problems that may occur during any part of the term of the policy. For example, bodily injury liability covers the policyholder against personal injury that occurs from a car accident, slip and fall, or other incidents involving physical injury. Legal liability covers a broad range of situations, including any legal matter that may arise from a car accident or claim of liability on the part of the policy holder. Medical expense liability is a little narrower than the bodily injury liability. It applies to medical or other expenses that happen to be the result of a medical or other matter that is undertaken by a policy holder.
The next type of situations you need to pay a bill, make a change, or purchase insurance would be property protection insurance. This would include anything that you use in your auto policy that is not specifically excluded in your state. For instance, your windshield, the radio, the tires, and other things that you use with your vehicle on a daily basis would be included in this category of insurance. Again, the exclusion could vary from state to state so it is important to check with your auto insurance agent.
The third type of situation that would require umbrella insurance is litigation and liability coverage. If you are hit by somebody driving an automobile that is not insured or whose underinsured or uninsured status has become publicly known, you could be subjected to many different lawsuits and legal issues without any warning whatsoever. For instance, if you were on your way to work and in an auto accident, you may find yourself needing financial compensation to cover the cost of your car repairs, your time off work, and possible medical expenses.
Umbrella policies can also be referred to as riders to underlying policies, and they work very much like a rider on a car. You can add umbrella policies as you see fit. There can be no single rule that says you cannot have them as part of your insurance package. They do not have to be part of your coverage all the time; they just may be a good idea at certain times, such as when you have multiple cars on your policy. You may wish to consider adding umbrella coverage for slander and libel, which cover errors and omissions, in addition to a variety of other possible liabilities that could occur in the course of doing business.
Your best source for getting advice about this type of coverage is a consumer information institute. An information institute will provide you with a comprehensive list of attorneys who specialize in umbrella coverage for both slander and for libel. You should be able to obtain a full list over the Internet, as there are literally dozens of sites that give this sort of information. Just make sure that whatever site you go to has a professional reputation and is actually connected to an actual legal firm. You may have to check with the State Bar Association before you get a referral; you should never pay for a referral just because the attorney was paid a referral fee by the same organization.
When you take advantage of an umbrella insurance policy, you will have the added protection of liability and loss coverage beyond the limits of your primary policy. In short, you can have everything you need to protect your assets and your personal life under one roof. This can really help protect your assets in the event of a lawsuit, so it is important to choose a reputable and experienced attorney to help protect your assets in the event of libel and slander. They can provide coverage for both bodily injury and for slander and libel.