How Does Umbrella Insurance Protect You Against Paying Overages?

Accidents, whether involving your vehicle or occurring in your home, can result in extraordinarily high bills. This is where an umbrella insurance policy comes in handy. Umbrella insurance provides additional coverage for other policies, enhancing your overall protection. If you have home and auto insurance, it may be beneficial to consider this type of policy. To learn more about umbrella insurance, contact us at Bogden Insurance Agency in Berlin, CT.

Increased Liability Coverage

Home and auto insurance policies each come with a certain amount of liability coverage, which protects you against accidents. However, problems arise when these policies don’t provide enough coverage to cover the costs of an expensive accident. A serious accident can be highly costly, and if you don’t have sufficient liability coverage, you may still owe money for damages after the insurance company has paid. Umbrella insurance can cover this overage.

Understanding How It Works

When an accident occurs, followed by a stack of bills, your home or auto insurance steps in first and pays for the damages up to the policy’s maximum payout. The umbrella policy then covers any overage beyond this. This prevents you from being stuck with bills after maxing out your liability coverage. Umbrella insurance is an excellent way to add extra liability coverage to your other policies, providing a high level of protection.

Securing Umbrella Insurance in Connecticut

If you want to enhance your liability coverage, contact us at Bogden Insurance Agency in Berlin, CT, to get started.