Umbrella insurance is an essential coverage to consider when purchasing insurance. It can help protect you in the event of a significant liability claim and provide peace of mind knowing that your assets are safe. Unfortunately, many people make mistakes with umbrella insurance due to a lack of understanding of how it works and why they should purchase it.
To help you make the right decisions with umbrella insurance, we at CG Insurance Agency will walk you through the top 3 mistakes people commonly make.
Umbrella Insurance: Top 3 Mistakes
Failing to Understand What Umbrella Insurance Covers
The first mistake is not understanding what umbrella insurance covers. While an umbrella policy can provide extra protection in case of a large liability claim, it does not cover everything. Most policies won’t cover intentional acts or illegal activities, such as fraud, and some may not cover certain types of business activities. It’s essential to understand the specific coverage details of your policy and make sure it will provide the protection you need for your Williamston, MI property needs.
Failing to Purchase Enough Coverage
The second mistake is not purchasing enough umbrella insurance coverage. Typically, umbrella policies offer one or two million dollars of protection. This may sound like a lot, but it can go quickly if you are held liable for more than one claim. It’s important to consider how much coverage is necessary to protect your assets in case of a significant liability claim.
Failing to Consider the Risks of Not Having Umbrella Insurance
The third mistake is failing to consider the risks of not having umbrella insurance. You could be exposed to a large liability claim without this coverage. In some cases, you may even find yourself facing litigation or struggling to pay legal costs. The financial protection provided by umbrella insurance can help prevent these scenarios if an accidental incident occurs.
Give Us A Call
At CG Insurance Agency, we understand how important it is to have the right umbrella insurance coverage for your specific needs. Our experienced agents are here to serve residents of the Williamston, MI area and help you determine which policy would suit your situation, and provide peace of mind knowing that you are covered in case of a significant liability claim. Contact us today to learn more about our umbrella insurance options and to get started on selecting the right policy for you.