Understanding the Benefits of Umbrella Insurance from GEICO

When it comes to protecting your financial future, having the right insurance coverage is essential. While most people have standard policies like homeowners and auto insurance, there are additional policies that can provide even more protection – one of those being umbrella insurance. In this article, we’ll explore everything you need to know about umbrella insurance from GEICO, including the benefits, coverage options, and frequently asked questions.

What is Umbrella Insurance?

Umbrella insurance is a type of liability insurance that provides additional coverage beyond what is covered by standard policies like auto and homeowners insurance. Essentially, umbrella insurance provides an extra layer of protection to help ensure that you’re covered in the event of a catastrophic event that results in damages exceeding the limits of your standard insurance policies.

For example, let’s say you’re involved in a car accident and are sued for damages that exceed the limit of your auto insurance policy. If you have umbrella insurance, it can help cover the excess damages, protecting your personal assets and financial future.

What Does Umbrella Insurance Cover?

Umbrella insurance is designed to provide coverage for a wide range of events that may occur in your daily life. Some of the most common coverage options include:

Event
Coverage Amount
Property Damage
Up to $1 million
Bodily Injury
Up to $1 million or more, depending on policy
Personal Liability
Up to $1 million or more, depending on policy
Landlord Liability
Up to $1 million or more, depending on policy
Legal Fees
Up to $1 million or more, depending on policy

Note that the coverage amounts listed here are just examples and can vary depending on your specific policy and needs. Additionally, some umbrella insurance policies may include coverage for events that are not typically covered by standard policies, such as libel and slander lawsuits.

Why Do You Need Umbrella Insurance?

While it’s true that standard insurance policies like auto and homeowners insurance provide a certain amount of liability coverage, there are many situations where those limits may not be sufficient to cover damages resulting from accidents or lawsuits. In those cases, having umbrella insurance can provide the added protection you need to ensure that your personal assets are not at risk.

Here are some common reasons why people choose to get umbrella insurance:

To Protect Personal Assets

If you’re sued for damages that exceed the limits of your insurance policies, you could be held personally liable for the excess amount. This means that your personal assets, such as your home, savings, and retirement accounts, could be at risk. Umbrella insurance can help protect those assets by providing additional coverage beyond the limits of your standard policies.

To Cover the Costs of a Lawsuit

Legal fees and court costs associated with a lawsuit can quickly add up, even if you’re ultimately found not liable. Umbrella insurance can help cover those costs, saving you money and protecting your financial future.

To Provide Peace of Mind

Knowing that you have additional protection in the event of a catastrophic event can provide peace of mind, allowing you to enjoy life without worrying about what might happen if something goes wrong.

How Much Does Umbrella Insurance Cost?

The cost of umbrella insurance can vary depending on a number of factors, including your personal circumstances and the amount of coverage you need. On average, a $1 million umbrella insurance policy can cost between $150 and $300 per year, though this can vary based on your location and other factors.

FAQ: Frequently Asked Questions About Umbrella Insurance from GEICO

Q: Do I Need Umbrella Insurance if I Don’t Have Many Assets?

A: While it’s true that having significant assets increases your risk of being sued for damages, anyone can be sued at any time for any reason. Umbrella insurance is designed to provide additional protection to help limit your personal liability in the event of an accident or lawsuit, so it’s a good idea to consider getting umbrella insurance regardless of your asset level.

Q: Can I Add Umbrella Insurance to my GEICO Policy?

A: Yes, GEICO offers umbrella insurance as an additional policy that can be added to your current insurance plan.

Q: How Much Coverage Do I Need?

A: The amount of coverage you need will depend on a variety of factors, including your personal circumstances and your level of risk. A good rule of thumb is to consider the total value of your assets and get enough coverage to protect them in the event of a catastrophic event.

Q: Will Umbrella Insurance Cover Me if I’m Sued for Intentional Acts?

A: No, umbrella insurance is designed to provide protection in the event of accidents or unintentional negligence. It will not provide coverage for intentional acts, such as criminal behavior or intentional damage to property.

Q: How Do I Know if Umbrella Insurance is Right for Me?

A: If you’re looking for added protection and peace of mind in the event of an accident or lawsuit, umbrella insurance may be a good option for you. To learn more about your coverage options and to get a quote, contact GEICO today.

Conclusion

Umbrella insurance is a powerful tool that can provide added protection and peace of mind in the event of an accident or lawsuit. By understanding the benefits of umbrella insurance from GEICO, you can make an informed decision about whether it’s right for you and your family. To learn more or to get a quote, contact GEICO today.