How Does Umbrella Coverage Work?

Asset Planning Insurance Agency, LLC, works closely with our friends in Somerset and Johnstown, PA to select a reliable insurance policy for all of your assets. Whether you’re insuring your home, auto, business, or anything in between, having the right amount of coverage can make a huge difference during a time of crisis. But what happens when the standard limit to your policy isn’t enough to cover claims made against you? That’s where umbrella coverage comes in.

How It Works

As a type of liability insurance, umbrella coverage is used for situations where you are sued or otherwise held legally accountable for an injury or damage to another party, and the limit of your standard liability insurance is exhausted. In short, it is an extra layer of protection to keep you from having to pay out-of-pocket for legal expenses or damages in a liability case. Without an umbrella policy, you would have to pay the difference once your regular policy reaches its limit.

What It’s Good For

There are many situations where umbrella coverage can be beneficial. Just a few include:

  • Major car accidents where you or a family member are found liable for damages and injury to multiple persons or properties
  • Someone sues you for injuries sustained while on your property
  • Protection in cases of libel, slander, or defamation
  • Coverage for accidents that occur on your commercial property or damage caused by yourself or employees during business operations on another person’s property

Umbrella coverage can also offer a safety net in unique cases where your average policy does not cover the situation at hand. This can include losses from cybercrimes such as hacking and data loss.

If you reside in the Somerset or Johnstown, PA area and are interested in learning more about umbrella insurance, please reach out to Asset Planning Insurance Agency, LLC today!


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