Why You Need Umbrella Insurance

If you live near Austin, TX, our team at Southwest Insurance Center invites you to review whether you have all the necessary insurance. One of those types of insurance is an umbrella policy.

What Is Umbrella Insurance?

If you’ve never heard of umbrella insurance, it is an additional policy that covers claims exceeding your home or auto policy’s current limits. Umbrella policies are typically used in liability claims or when property losses exceed your policy limits. For example, say you host a party and a guest becomes inebriated. They get behind the wheel and cause an accident, and you’re sued for negligence as the party host. In this case, your umbrella policy may help cover the damage after the limits on your homeowners policy have been reached. 

Another scenario to consider is if you have a swimming pool, trampoline or outdoor play set. If a guest becomes injured on your property, you could face large medical bills exceeding the liability limits on your homeowners policy. In this case, your umbrella would kick in.

Or, if any of your valuables, such as art, musical instruments, or jewelry, are stolen or damaged, your umbrella policy can help compensate you for those losses. 

Finally, if you are active on social media, you may want to consider umbrella insurance in case your posted comments result in someone else taking offense and suing you.

Call Us for an Appointment

Our team at Southwest Insurance Center, serving Austin, TX, can explain more about how umbrella insurance works. Call us for an appointment and a quote.