What kinds of risks does umbrella insurance cover that my regular policies might not?
It adds higher limits for large injury or property damage claims and can offer worldwide personal liability.
Umbrella Insurance in Ontario
When you carry a number of different insurance policies, you likely have varying degrees of protection, depending on the requirements, assets, and overall discretion of your budget. Each of these policies will ultimately leave ‘gaps’ in coverage, especially when two or more policies could be called upon during a claim.
Umbrella insurance policies essentially ‘drop down’ to cover gaps left by other policies under the insured’s name. It can also be used to provide more liability coverage than what is guaranteed under other policies.
Why Carry Umbrella Insurance?
Depending on your assets and wealth, regular insurance policies may not provide enough asset protection when it comes to liability. For example, if you own a home that is valued at $500,000 but your personal assets are valued at over $1 million, then you are exposed to personal loss over the amount of your current insurance policy.
In this example, carrying an umbrella policy will help protect your assets and investments against potential liability.
Put another way, if you have guests at your home and one of those guests has a serious accident, such as falling down the stairs, they could file a lawsuit against you for liability for the accident. They could sue you for $1 million, for example. If your policy only protects you against half of that amount, your personal assets could be seized to cover the rest, depending on any settlement or verdict in court.
Carrying umbrella insurance is a vital component for any individual who wishes to protect his or her assets against liability.
Let James Campbell Insurance Help You With Your Insurance Today
At James Campbell, we put you first. Our clients are our top priority and the backbone behind everything we do.
We can help provide you with protection from insuring your first car, your first home or business or even giving you protection during your retirement travels. Whatever you need coverage for, we’ve got your back. We will make sure that you are ready to live a life free of stress or worry so you can focus on life’s important moments each and every day.
James Campbell Insurance Brokers have been taking care of our members for over 40 years. This is why we are able to make insurance easy by offering you the right solutions at the right times. Our solutions are tailored to fit your individual needs, no matter what they may be.
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It adds higher limits for large injury or property damage claims and can offer worldwide personal liability.
It activates after underlying limits are exhausted, subject to policy terms.
Insurers set minimum underlying limits on home and auto. We confirm your current limits and close any gaps.
Consider assets, future earnings, lifestyle, and potential claim size. Many households start at 1 to 2 million.
Broader protection in some scenarios, defense cost coverage, and a single layer sitting over multiple policies.