In the world of meteorology, whenever it looks like rain, an umbrella is good to have around. In the world of insurance, a Liability Umbrella can protect you from getting soaked as a result of losing a liability lawsuit.

People are suing each other today more than ever. Verdicts amounting to hundreds of thousands of dollars are being awarded by juries across the country in increasing numbers. If you accidentally injure someone or damage their property, you could be the one being sued. Even though your underlying policies may provide substantial liability limits, it is not uncommon today for juries to award damages that exceed those limits.

Liability Umbrella coverage amounts are written in increments of $1 million and supplement your present policies to provide additional personal liability protection.

So, how does it work?

Typically you’ll have insurance on both your home and your vehicles. Those policies can cover both loss through physical damage and protect you if you are sued. You can get sued for any number of things but usually you’ll get sued if someone is injured at your home or injured as the result of an auto accident that is your fault.

Courts can award damages to cover doctor costs, pain and suffering, lost wages, loss of future income, loss of companionship (in the event of a death) and many others — the list can be almost endless.

A Liability Umbrella steps in and pays when the limits of those policies are exceeded in the judgment. A $1 Million Umbrella gives you an additional million dollars of protection over and above BOTH your Home and Auto policies

Example: Your auto policy will pay up to $250,000 in personal injury damages when you are found at fault for an accident. You happen to hit a doctor one rainy Saturday night and he can’t work for a couple years. The court awards $750,000. If you have a $1 Million Umbrella, your auto insurance pays $250,000 and your umbrella kicks in with the additional $500,000.

Obviously, umbrellas can go a long way to protecting your hard-won assets. I’ve seen cases where the judgements exceed their protection. They have to either go into the equity of their homes and pay from there or they get put on the LIFETIME MONTHLY PAY PLAN and have to sacrifice significant portions of their earnings for many, many years to pay the judgment. NOT a pretty picture.

The saddest part is that Umbrellas are generally extremely cost effective.

You can get a $1 Million Umbrella usually for under $300 a year. Many companies (including mine) will give you a sizable discount if your home and autos are insured with the same company. That can bring your cost down to the low $200′s. In some cases a $2 Million, $3, or even a $5 or $10 Million Umbrella will make sense. Generally the more your net worth the higher your limits should be.

Liability Umbrellas are sensable, cost effective and serve to protect EVERYTHING you’ve worked so hard to accumulate throughout your life.

Sincerely,  
For a Quote, Go to DennisVolz.com
  Dennis Volz Insurance Agency
10791 Jamacha Bl, Suite 1, Spring Valley, CA 91978
OFFICE: (619) 670-1000 - FAX: (619) 670-1121 - Cell (619) 339-1339
Email: Dennis@DennisVolz.com
Websites: DennisVolz.com and TheSanDiegoInsuranceBlog.com

All posts on The San Diego Insurance Blog contain only a general description of coverages and is not your insurance contract. Details of coverage or limits will vary. All coverages are determined by the terms, provisions, exclusions and conditions of your policy along with any endorsements.

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Pile of Christmas Presents on white backgroundHoliday shopping can be somewhat frenetic. We all have so much to do and so little time to get it all done. Here’s a little peace of mind for you holiday shoppers regarding the protection of the gifts you buy.

Generally, your Christmas gift purchases are covered the minute you purchase them by your Homeowners, Renters, or Condo Unit Owners Policy. They are covered from the minute you get them at the store.

Many people believe that their car insurance will cover their purchases should a auto break in occur at the mall or some other location. This is NOT true. Auto insurance WILL NOT provide coverage for your Christmas gifts if stolen or vandalized.

Don’t forget to take reasonable and prudent precautions.

  • Put your gifts in the trunk or in a less visible place in your vehicle. What they can’t see, the won’t go after.
  • Always lock your vehicle.
  • Don’t store gifts in your car.

Apply these additional ideas from this great article.

Remember that while all policies may differ and it’s your actual policy policy contract that makes the final determination, most companies provide personal property coverage for personal (as opposed to business) property regardless of location. You usually are covered for items in your home, car, hotel room, friend’s house, etc. Some may put limits on the continental United States, but most don’t. AGAIN… check your policy or with your agent to be sure.

Sincerely,  
For a Quote, Go to DennisVolz.com
  Dennis Volz Insurance Agency
10791 Jamacha Bl, Suite 1, Spring Valley, CA 91978
OFFICE: (619) 670-1000 - FAX: (619) 670-1121 - Cell (619) 339-1339
Email: Dennis@DennisVolz.com
Websites: DennisVolz.com and TheSanDiegoInsuranceBlog.com

All posts on The San Diego Insurance Blog contain only a general description of coverages and is not your insurance contract. Details of coverage or limits will vary. All coverages are determined by the terms, provisions, exclusions and conditions of your policy along with any endorsements.

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Insurance Claims Secrets – The INSIDE STORY

May 5, 2015

Insurance claims can be a first class PITA! With that in mind, this little bit of INSIDE INFORMATION is offered. EVERY CLAIM HAS: An Adjuster (human type) A File (either electronic or paper or both) A Supervisor (also the human type) YOU: A claimant (when you’re working with ‘the other’ insurance company) or policyholder (when […]

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Are Your Liability Limits a Liability?

June 14, 2011

—- Liability Limits —- The line of protection you place between a mistake you may make and the guy you have injured who now thinks he deserves to take everything you own! Your liability limits on your auto insurance look something like this: 15/30/5, or 50/100/25, or 100/300/50.  Sometimes they’re listed like this: LIABILITY LIMITS: […]

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Electrical Outlet Safety

February 18, 2011

Electrical receptacle outlets in walls and floors may present shock and electrical fire hazards to consumers. The U.S. Consumer Product Safety Commission estimates that 3,900 injuries associated with electrical receptacle outlets are treated in hospital emergency rooms each year. Approximately a third of these injuries occur when young children insert metal objects, such as hair […]

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WELCOME

January 25, 2011

Welcome to the San Diego Insurance Blog. This is a place to connect with our community and discuss the (sometimes) complicated role of insurance in our lives today. Now I know that insurance is not a sexy subject, for sure!  But it is necessary these days and you can lose (or SAVE) a lot of […]

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How To Clean Granite Countertops

January 24, 2011

To keep your granite countertops clean, use a microfiber cloth to dust off countertop surfaces. Wipe down the granite countertops daily and as needed using water. Once a week wipe down with a damp cloth and a stone cleaner formulated with a neutral pH. Never use harsh chemicals or abrasive cleaners. They can scratch, pit, […]

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Secrets to Safe Driving in The Rain

December 18, 2010

Just Slow Down Have you noticed that especially here in San Diego, people don’t seem to notice that its raining when they’re driving.  People tail-gate just as much if not more (because some people actually slow down to allow for the wet conditions.)  They drive at breakneck speeds seemingly oblivious to the deteriorated visibility and […]

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How to Inspect Your Roof

November 29, 2010

With the coming of the “rain season” here in San Diego, now might be a good time to take a look at your roof. Here’s a few tips on what to look for and I’ve included a video at the end to give you a visual for some of these. What To Look For Just […]

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Children and Electrical Outlets

November 23, 2010

Electrical outlets are usually installed at a height at or near a child’s eye level, and a child’s curiosity can draw them to explore, making electrical outlets a source of worry for many parents. The chance of electrocution is small, but the results can be devastating. According to a 1994 estimate of electrocutions released by […]

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