You don’t have to be a millionaire to get sued like one. Anyone with assets should have a personal umbrella policy in place to protect them from the threat of liability. While you might think of auto accidents as your biggest risk factor, there are many different things that can land you in the middle of a lawsuit. Having robust liability insurance is the best way to guard the life you’ve worked hard to build for your family from the impact of a lawsuit.

Protect your peace of mind and your family’s lifestyle today with an affordable, effective umbrella policy.

Liability

Personal liability is one of the biggest threats to your assets. If you have any assets at all, it is important to protect them with adequate insurance. Why is liability such a concern? The simple fact is that while a fire could burn down your house, or a flood could wipe it out, the threat to your finances from a lawsuit is much more serious.

If you are in a car accident in which someone else is harmed badly, or tragically killed, and you are found to be at fault, you can expect a personal injury or wrongful death lawsuit. Your auto insurance will have some liability protection, but most companies offer a maximum of $300,000 to $500,000 in liability on your auto policy. If someone is disabled after an accident, their medical and long-term care costs will quickly add up to much more than this, and will very likely try to get it from you.

A personal umbrella of a million dollars provides another layer of liability protection in addition to your auto policy, providing a much larger pool of cash to draw on if you need it.

A car accident is not the only thing to worry about however. While it is one of your biggest sources of risk, your umbrella will cover your personal liability in a wide variety of circumstances.

If you have a pool, host parties at your house, go hunting, have a boat, coach a youth sport team, or serve on a board, then you need personal umbrella coverage. Any of these activities can lead to situations where someone else decides to sue you. Even if you go on social media and write a post that could be considered defamatory, you could be sued.

Legal Counsel

In addition to the money to pay a settlement or judgement, your umbrella policy will also provide funding to hire legal representation. Lawyer fees can quickly add up, and fighting a lawsuit is often extremely expensive. Even if you win, and don’t have to pay a judgement, the legal fees can be ruinously expensive.

Avoid this with an umbrella policy so that those costs are already taken care of. A little bit of premium will go a long way towards protecting you from potentially devastating financial consequences.

I don’t have enough money to sue.

You might not think of yourself as rich, or someone with a lot of assets. But remember, the person suing you may not see it that way. Maybe you have a shiny new car, or you’re a business owner, so they automatically assume you must have substantial net worth. Even if this isn’t the case, it might not be enough to stop them from filing a lawsuit, which means you’ll need a lawyer at the very least, and if a judge or jury sides with this person, you may have to pay out of what you do have.

Another important thing to remember is that one of your biggest assets is your ability to earn an income. Even if you don’t have a lot of savings or other assets, you are able to go to work and collect a paycheck. A judgement against you could lead to garnished wages until it’s paid off.

Having a personal umbrella policy provides you with the resources to protect your assets, and more importantly, the way of life you and your family are used to.