Umbrella Insurance?

[missionfinder]

You can buy umbrellas pretty cheap at Walmart these days, so I see no need to insure them.

Now. seriously, we carry a few million in umbrella coverage, to protect assets since we sold our business. This is one of the things our fee-only advisor insisted we increase considering the cost. He said the sale of the business made us an instant target. We haven't even told most of our family about it. For the price, its cheap (though your quote is only a tad high for that amount as the rate usually comes down for multiple millions). Also, depending on the industry, its often wise to get professional insurance and/or executive liability insurance. My business carried professional insurance, errors and omissions insurance (publisher), in addition to the standard liability and workers comp policies.

 

[IndependentlyPoor]

Also, depending on the industry, its often wise to get professional insurance and/or executive liability insurance. My business carried professional insurance, errors and omissions insurance (publisher), in addition to the standard liability and workers comp policies.

Oww! Ouch! Just thinking about it makes my head hurt.

Stuff like this makes coding equations into computer code seem easy. Maybe you business types earn your keep after all.

 

[WhoDaresWins]

I recently put an umbrella policy in place via USAA. I have you all on this forum to thank for this. I had heard of them before but after reading a thread here a few months back, I thought it was something I should have. I had to up my homeowners and auto insurance a bit to get the policy.

 

[Disappointed]

Most insurance companies will only provide umbrella if they sell the underlying auto or home policy. Because all these policies include some liability, this must be to avoid conflict (who pays first) between policies. Allstate also demanded a certain amount of coverage on those policies before they will issue Umbrella.

Mine is with Allstate, $3mm for $651/yr. Anything above $1mm, policy holders must provide document for justification (bank statement, etc.).

mP

 

[Goonie]

Who are you folks using, other than USAA since I don't qualify, for your umbrella coverage? I've have my homeowners policy agent working on something, but he didn't seem too up-to-speed on umbrella policies.

My umbrella policy is with State Farm...the same as my homeowners, multiple auto, and 'personal property' policies. My agent is very well informed of what SF has to offer, and the details of such. I sat down with him to discuss why I wanted the umbrella, and we discussed how much I needed. I suggested $1M to $2M, and he recommended just the $1M...which after we talked, I agreed was the appropriate amount for my situation.

BTW, the $1M umbrella costs me $183/year.

 

[gindie]

I've always wondered what happens after the insurance company has to pay off on the policy. Is that the end of the policy (will they cancel you)?

 

[W2R]

I've always wondered what happens after the insurance company has to pay off on the policy. Is that the end of the policy (will they cancel you)?

That probably depends on the state.

Here, if you have three claims of any size (no matter how small) on your homeowners' insurance in a period of time (5 years? I think), the insurer can and will drop you. That's the arrangement with the state insurance commissioner I think.

In Louisiana, Allstate and other major insurers will not provide new umbrella policies for any price. This is a post-Katrina thing - - they have decided not to provide new policies for homeowners' insurance and new umbrella insurance somehow got caught up in all of that.

The best I could get when I went to my Allstate agent last year looking for umbrella insurance, was a handwritten phone number on a scrap of paper and a whispered "psst.. we can't cover you but here, call Guido at this number and maybe he can work something out". Typical New Orleans and when possible I don't do business with shady characters.