1639 Cape Coral Pkwy E. Suite 203 Cape Coral, FL


Phone: (239)549-5420
Fax: (239)549-7905
Email: dave@integratedinsfl.com




Personal Umbrella



Protect Your Assets With Personal Umbrella Insurance Coverage

You've insured your car and your home. If the unexpected should occur, make sure you are protected. A personal umbrella insurance policy offers an extra layer of liability protection for your assets if there's a serious auto accident or accident on your property. Otherwise, you could be liable for more than your current auto or homeowners coverage limits.

Umbrella insurance refers to liability insurance that is a broader coverage of the policy that is in excess of. When an insured is liable to someone, the insured's primary insurance policies pay up to their limits, and any additional amount is paid by the umbrella policy (up to the limit of the umbrella policy).

Excess insurance is similar in that it pays after an underlying primary policy is exhausted, but is different in that it

1. Normally applies to only one underlying primary policy and

2. Covers only those losses that are covered (up to policy limits) by that primary policy.

For example, if the primary policy does not cover liability due to pollution, the excess policy does not either. But an umbrella policy may cover pollution liability from the first dollar in addition to liability of other kinds that is simply beyond the primary policy's limit. The policy is said to "drop down" to cover the pollution liability as primary insurance and fill in the gaps in the underlying policies.

Personal umbrella policies are typically made excess of a person's homeowner's and automobile insurance. A commercial umbrella policy may be based on a commercial general liability (CGL) primary policy.

Examples of liability that an umbrella policy may cover that a homeowner's policy often excludes are:

  • False Arrest
  • Libel
  • Slander
  • Invasion of privacy

How personal umbrella insurance coverage works

Consider this scenario:

  • Your home insurance provides $500,000 of liability coverage.
  • A serious accident occurs on your property, and you’re sued for $1.5 million resulting in a judgment against you.
  • Your insurance would pay up to $500,000 for a covered accident, but you would need to come up with the remaining $1 million.

If you had $2 million of coverage under an umbrella insurance policy, you would not need to liquidate your assets to pay the remaining $1 million in this example.

Personal liability insurance helps protect your wages, house, investments, cars and boats from being at risk if a serious accident occurs.

The simple fact is that in today's lawsuit-happy culture, the scenario above is a real possibility if you're ever found at fault in a major auto accident or even sued for a serious mishap on your property.

That's why a personal umbrella policy (often called a PUP) makes sense for so many drivers and homeowners. A PUP makes sense for many customers, but it's up to you to decide whether or not you need a personal umbrella policy.

Contact Integrated Insurance and talk to an agent to find out what the best level of coverage is for your situation.