Umbrella Insurance in Providence, Rhode Island
The purpose of umbrella insurance is to help provide an extra layer of protection and safeguard your assets from potential lawsuits and liability claims that exceed the limits of your primary insurance policies. By having umbrella insurance, you can better protect your financial well-being and mitigate the risks associated with unexpected liability claims, ensuring you are prepared for any unforeseen incidents.
What Is Umbrella Insurance?
Umbrella insurance may help provide extra protection beyond the existing limits and coverage of other policies. It kicks in when another policy reaches its limit. Umbrella insurance may also offer coverage that isn’t included in other policies.
Notably, umbrella insurance can be beneficial for both individuals and businesses, categorized as personal umbrella and commercial umbrella policies, respectively. Specific coverage offerings will depend on what type of policy you are seeking, whether it’s for personal or business purposes.
Do You Need Umbrella Insurance?
Your umbrella insurance needs may vary based on your particular circumstances. Here are some parties who may benefit from an umbrella policy:
- High-net-worth individuals
- Vehicle owners
- Business owners
- Parents or pet owners
How Does Umbrella Insurance Work?
Umbrella insurance provides coverage beyond the limits of your primary insurance policies. For example, if you have a limit of $300,000 for the liability coverage provided by your auto insurance policy and a limit of $1 million for your umbrella policy, your total coverage for liability claims would be $1.3 million. Umbrella insurance typically covers various liability claims, including personal injuries, property damage, libel, slander, false arrest and certain lawsuits. It can help provide an extra safety net when the limits of your primary policies are exhausted. To be eligible for umbrella insurance, you usually need to have certain minimum liability coverage limits on your primary policies.
If you’re faced with a liability claim that exceeds the limits of your primary policy, you would first file a claim with your primary insurance company. Once the limits of that policy are exhausted, you can file a claim with your umbrella insurance provider. Generally, the umbrella policy would then kick in to cover the remaining expenses up to the policy’s limit.
Umbrella insurance may have specific exclusions, so reviewing the policy is essential to understand what is and isn’t covered. The cost of umbrella insurance varies depending on factors such as your location, the amount of coverage you need, your assets and your risk profile.
How to Get Umbrella Insurance
If you need umbrella insurance for personal or business purposes, call Gilbane Insurance Agency to get started.
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