Why You May Need an Umbrella Policy
An umbrella policy is liability insurance that protects you beyond the limits of your ordinary car insurance policy.Many car insurance companies limit your protection to a maximum of $300,000 per accident - sometimes as high as $500,000.
If you have considerable assets (such as a home), getting an umbrella policy is a very smart decision.
First of all, umbrella policies are relatively inexpensive because they are rarely used. You can get a $1 million umbrella policy for less than $350 per year.
Furthermore, an umbrella policy will cover both your car and home insurance beyond their limits.
The cost of umbrella insurance will be a bit higher if you have a teenager on your policy, since they tend to cause a large percentage of high-cost claims.
Each week, I'll keep you up-to-date on the latest car deals and news that might affect your purchase. This includes...
- Best Rebates, Incentives, and Lease Deals
- Latest Car Buying Scams and Tricks
- The Best & Worst Time to Buy a Car
- Which Cars You Should Avoid
About The Author
Gregg Fidan is the founder of RealCarTips. After being ripped off on his first car purchase, he devoted several years to figuring out the best ways to avoid scams and negotiate
the best car deals. He has written hundreds of articles on the subject of car buying and taught thousands of car shoppers how to get the best deals.
Got a Question About This Article?