The Benefits of an Umbrella Policy

Accidents by nature are unplanned and unintentional; however, in today’s world, an apology doesn’t always solve the unexpected situation. Whether you inadvertently cause a car accident or a worker slips on your property, it’s possible you might get sued for damages. Having an umbrella policy could save you a great deal of stress and money.

What Is It?

Most people know about traditional car and home insurance. But if you need a plan to cover more, an umbrella policy from a palm coast insurance agency may help. Sometimes, though, the cost of an accident exceeds policies. What happens if you rear end another vehicle? The car sustains heavy damage to the back bumper and trunk. Insurance covers the damage. What happens if the victim of a crash sustains long-term injuries? This might include injuries to the back or tissue damage. In many states, this person could hire a lawyer and sue you for medical expenses that go beyond your policy limits. If the jury awards that higher amount, you will need to pay the plaintiff. An umbrella policy cannot stop the lawsuit, but it adds an additional layer of protection. The car insurance covers the initial policy amount. The umbrella policy pays the difference.

Added Benefits

Life can be stressful. Being sued can create added emotional and mental strain. The umbrella policy takes the stress out of the equation because it will cover the cost. You work hard for your money, and it’s hard to believe that a poor decision could create major financial constraints. That is possible though. Any money exceeding a normal policy can be taken from personal bank accounts, pulled from future checks or taken from investment funds. Most likely, you had plans for the income, and you may not have any to spare. The umbrella policy allows you to keep your savings and financial accounts intact.

Investing in an umbrella policy covers the bases. You will breathe easy knowing that you have prepared yourself for the worst. In making that choice, the worst won’t be bad.