When it rains, it pours. Just like an umbrella provides us extra protection when it’s raining, an umbrella insurance policy provides us extra protection when things go wrong. Say your dog gets out and bites someone, it’s your fault, and the other party sues you for injuries and medical bills. Your standard homeowners insurance policy will provide you with some liability coverage up to a limit set in the policy. However, what if the judgement against you is more than your policy will cover? You could lose all your savings and assets! If you had umbrella insurance, it would pick up and pay where your standard policy left off.

Umbrella insurance can also cover other members of your family or household. If your teen isn’t the best driver yet, you can rest easy knowing your umbrella insurance will cover the injured parties’ medical bills if your child is responsible for an accident.

While some people are more at risk of being sued, everyone should have umbrella insurance, because everyone can be sued! Umbrella insurance is a small price to pay to sleep soundly at night knowing that your savings and assets are protected. The cost of an umbrella insurance policy varies. On average most $1 million policies will cost you between $150 and $300 per year. It is an extra $75 per year to add an additional $1 million, and another $50 per year for every extra $1 million in coverage beyond that.

Even the most careful people with the best intentions can end up on the hook for a huge judgement from a personal liability lawsuit. While the chances of ending up in this situation is slim for most people, it is still smart to protect yourself. Like the old saying “better safe than sorry!” Contact Auburn Insurance & Realty Co., Inc. at (401) 943-3388 or online at https://www.auburninsurance.org/ to start your free quote on umbrella insurance.