Umbrella insurance is personal liability insurance designed to cover claims larger than what your auto, renters, or homeowner’s insurance cover provides. Here is a breakdown of how umbrella insurance would work for you as a resident of Emmaus, PA.

The circumstances

• Example 1: If your pet dog gets out of the house and viciously attacks someone walking by or a neighbor, the victim will likely sue you for medical bills, pain and suffering, and lost wages. This liability isn’t covered under your homeowners’ insurance; thus, you will have to settle it out of pocket if you don’t have umbrella insurance. As a result, you could lose all your savings and a significant part of your future earnings. Umbrella insurance will take care of this liability and your legal fees. 
• Example 2: If you are involved in a 10-car accident, and are the at-fault driver, your auto insurance property damage coverage likely isn’t large enough to replace all the ten damaged cars. Additionally, neither is your auto personal liability coverage huge enough to pay for the medical bills of all the victims. Paying for the damages and medical bills out of pocket will ruin you financially. An umbrella insurance policy will pay for the property damage and medical bills that exceed your auto insurance policy coverage. 

How the Coverage Works Financially

Let’s say you are an Emmaus, PA resident with a homeowners insurance of $300,000. One day you host a party, and a guest slips, falls, and gets injured, and they decide to sue you. If the court awards them a $1 million settlement, your homeowners’ policy will only pay for $300,000; the remaining $700,000 will come from your savings and future earnings. Suppose you have umbrella insurance worth $1 million with us at Patrick McNealis Insurance and Financial Group. The umbrella policy will pay the $700,000 balance for you, thus protecting your saving and future earnings. 

Contact Patrick McNealis Insurance and Financial Group for umbrella insurance assistance.

While shopping for your boat, home or auto insurance coverage, you probably came across umbrella insurance coverage. But did you understand what it is and what it covers? If you understand what umbrella insurance is, do you think you need it? Assuming your answer is no, this blog by Patrick McNealis Insurance and Financial Group in Emmaus, PA seeks to address you. 

What’s covered by umbrella insurance? 

Umbrella insurance is extra liability insurance that covers you when your other insurance policies are exhausted. Here are areas that umbrella insurance covers you: 

Property damage

If you caused damage to or lost other people’s tangible properties by any mischance, you may need umbrella insurance — particularly if the costs associated with that property are high. 

For example, accidental damages caused by kids to expensive school properties can be covered. 

Bodily injury liability

This type of coverage comes to your rescue when you accidentally or your property causes injuries to other people. It takes care of unfortunate cases such as

• When your dog bites your guest 
• When you hit, say, ten people with a vehicle and auto insurance coverage isn’t enough
• When people slip and fall on your property 

Personal liability 

Umbrella insurance protects you against slander, libel, and false prosecution. Typically, these liabilities aren’t covered by other liability coverages.  

Who needs umbrella insurance?

According to various insurance experts, you need to consider umbrella insurance if you:

• Are a landlord
• Coach kid’s sport
• Have significant savings
• Host parties frequently
• Your driver is inexperienced 
• Having significant savings/ valuable assets
• Are a reputable public figure
• Participate in sports
• You regularly write and post product reviews of other businesses 

Even the most cautious individuals with no bad intentions can find themselves facing significant lawsuits. While no one wishes to encounter such scenarios, you should purchase umbrella insurance to protect you against unfortunate incidences.

If you are looking for umbrella insurance in Emmaus, PA and its environs, please contact Patrick McNealis Insurance and Financial Group for an affordable quote.

Patrick McNealis Insurance and Financial Group serves the community of Emmaus, PA with quality insurance services for all aspects of life. If you have been considering the coverage you have and wondering if it is enough, it may be time to discuss umbrella insurance coverage. Here are some common questions people have about this type of coverage:

FAQs About Umbrella Insurance Coverage

• I am not wealthy, but I do have a lot of business assets. Do I need umbrella coverage? Your situation is exactly one that would benefit from umbrella coverage. If you have a lot of assets for your company, chances are you have a lot to lose if things go awry. A quality insurance policy can only cover so much. If you want to make sure you are fully protected, additional umbrella coverage could save your business in a worst-case scenario. 
• What is umbrella coverage? Umbrella insurance is an add-on policy that can add additional monetary protection for specific situations or items. Some people purchase an umbrella policy to get protection from litigation if they are to be in the public eye; others purchase an umbrella policy to cover a specific item beyond what their typical policy will cover. 
• Is umbrella coverage a legal requirement? No, you do not have to carry umbrella insurance legally. It is an add on to provide you peace of mind and significantly greater coverage, often for a small price each month on top of your commercial insurance. 

If you live in or around the scenic Emmaus, PA area, contact us at Patrick McNealis Insurance and Financial Group to learn more about protecting your vital assets. We will be happy to answer any additional questions you may have about umbrella insurance and your specific situation.