I recently picked up a $1M umbrella policy after my wife and I got close to a $1M net worth. I didn’t want that extra liability and it was only $400 per year!
28 January 2022: We have a $5 million umbrella policy through USAA for an annual premium of $806.11. We also have a $2 million policy through The Hartford for our business.
At one point in my life, I owned a store and a coin operated laundromat. Probably 6-8 times, I get a call from someone allegedly from an attorney's office asking about my insurance coverage. "What's this about?" "Oh, we represent so-and-so, who slipped and fell in a puddle of water at your laundry." "OK, send me a formal inquiry on your firm's letterhead and I'll be sure to forward to my insurance company." Usually, never heard anything else about it. I was talking to my agent who told me that a lot of these "billboard" lawyers are just looking for a $5000 payday. Make a dubious claim and "settle" for a few thousand dollars.
Umbrella policy is def needed if you have something to lose. They are cheap. I contacted my home/car insurer (USAA) to inquire and they said it was a better deal to raise my liability insurance on my house and car to $1M each vs leaving them the way they were and buying a $2M umbrella policy. Of course this means that the $2M is split between house and car at $1M each so you actually have less coverage. Something to consider.
Yes!!! Dash cameras are cheap and they can save you from so much! It was the only thing that prevented me from being at 100% fault for an accident. Someone cut me off then brake checked me, it would have been he said he said but the camera told the truth!
I have to add to Dave's requirements for Umbrella Insurance. If you live in an area where there are quite a few 6-figure income earners relative to the general population, you should get umbrella insurance. For example, I live in a community with the highest number of doctors and 6 figure income healthcare workers in the country. I therefore feel that I need the extra protection just in case something happens.
He pretty much addressed that when he mentioned your perceived wealth. If a lawyer or general public would assume you have $1mil net worth you should have an umbrella in any scenario.
No they go after you and the insurance company steps in to protect your best interest per the terms of the policy. If a lawsuit is filed it does not name the insurance company as a defendant.. it names the insured.
God bless everyone in this comment section. I pray you and your family are always protected by the love of God 🙏💓
Thank you Bryan.
Amen to you and your family as well Bryan
I recently picked up a $1M umbrella policy after my wife and I got close to a $1M net worth. I didn’t want that extra liability and it was only $400 per year!
Same here, a very good idea.
28 January 2022: We have a $5 million umbrella policy through USAA for an annual premium of $806.11. We also have a $2 million policy through The Hartford for our business.
At one point in my life, I owned a store and a coin operated laundromat. Probably 6-8 times, I get a call from someone allegedly from an attorney's office asking about my insurance coverage. "What's this about?" "Oh, we represent so-and-so, who slipped and fell in a puddle of water at your laundry." "OK, send me a formal inquiry on your firm's letterhead and I'll be sure to forward to my insurance company." Usually, never heard anything else about it. I was talking to my agent who told me that a lot of these "billboard" lawyers are just looking for a $5000 payday. Make a dubious claim and "settle" for a few thousand dollars.
Wow. Freaking morons. Sue happy country.
Umbrella policy is def needed if you have something to lose. They are cheap. I contacted my home/car insurer (USAA) to inquire and they said it was a better deal to raise my liability insurance on my house and car to $1M each vs leaving them the way they were and buying a $2M umbrella policy. Of course this means that the $2M is split between house and car at $1M each so you actually have less coverage. Something to consider.
Get a dash cam, to keep people honest.
Yes!!! Dash cameras are cheap and they can save you from so much! It was the only thing that prevented me from being at 100% fault for an accident. Someone cut me off then brake checked me, it would have been he said he said but the camera told the truth!
Get a Tesla
In Germany everyone is required to have it. Especially if you have children or own property. But Germany has excellent restrictions on lawsuits.
I have to add to Dave's requirements for Umbrella Insurance. If you live in an area where there are quite a few 6-figure income earners relative to the general population, you should get umbrella insurance. For example, I live in a community with the highest number of doctors and 6 figure income healthcare workers in the country. I therefore feel that I need the extra protection just in case something happens.
He pretty much addressed that when he mentioned your perceived wealth. If a lawyer or general public would assume you have $1mil net worth you should have an umbrella in any scenario.
My N*tionwide 1M umberlla policy was only about $130 a year. Glad I have it.
Insurance is only as good as the insurers ability to follow through. Better to have it and not need it than need it and not have it.
Note to self ... break check Dave ....
GOOD.. QUESTION
They go after the insurance company, not you.
No they go after you and the insurance company steps in to protect your best interest per the terms of the policy. If a lawsuit is filed it does not name the insurance company as a defendant.. it names the insured.
If you are responsible, you gonna pay.
If you have money in the bank, you will be sued. If you are judgement proof, no worries.
That's why you buy physical assets like rare coins and rare art and you don't tell anyone about it.
Umbrellas are good when it's raining.