What is an Umbrella Policy and Do you even need one?

[@ksuss5360]

I work in insurance and have a 20-year-old driver in my family, a small business, and rentals. When I sell or quote these, I recite the limits for being sued in the state, for example, here in WY, you can be sued for your net worth plus 20x your annual income. I ask clients if they have something to lose if they get sued for some reason? If they say yes, which most of them will, I start talking about the pulp. Since I have been in the business, I have had this constantly on my mind. I love being protected in case something happens. I was once poor, I did not even think about having the things I have now, but now I cannot even think about losing it all. Some people never even think about these things. This is our job as insurance professionals to educate people. I love that part the most.

[@Rhanyra]

Thanks for sharing - new cs agent in training

[@discerningmind]

For the people that would forego an umbrella policy because they think they don't have anything to lose. That's wrong. Anyone that doesn't have insurance coverage or enough coverage can have a judgment placed upon them by the court. That means that any future monies you receive, from any source, can be taken from you and put toward the judgment owed.

[@danbutler7708]

Don't know if you'll get to it but most of the time in every case almost every case the cost of the umbrella policy is tax deductible if you're covering your home and your car check and make sure it is for me

[@MossyRock501]

Reviewing quotes now, as I look to change insurance policy holders due to a substantial increase in home owners insurance (from $1280 in 2022, to $2480!! for 2024; even though I have never filed a claim in the ten years of home ownership, WA state btw). American Family quoted me a significant discount by adding an Umbrella to the Home/Auto bundle though it does require the higher auto limits. But the cost of having the higher limits is really offset by the umbrella discount. Makes sense to pay a little more for ALOT more protection overall. Thanks for the great actionable information video!

[@danbutler7708]

I have had borrowers who have asked to use American family and I have not granted loans to them

[@danbutler7708]

I will say that Aflac insurance on the stock market is very rewarding I own that stock to your success 👌

[@danbutler7708]

Make sure that your insurance company is going to be paying for the attorneys, and hopefully you've never had to use them but if you have to pay the attorney fees you'll find that that policy will pay for your premium amount very quickly we always hope we never need it but if we don't have it and need it we regret it

[@mrbazoun]

Great video, thank you for laying things out so clearly.

[@ThinkInsurance]

You’re welcome

[@newairworldmissioncenter5385]

I was estimated $1Mil in Personal Liability for my Homeowners Insurance Policy. Would it be more cost effective and provide additional limits and broader coverage if I scaled down to $300K and then added an Umbrella of $500K or $1Mil.

[@Rhanyra]

Check with your company on their umbrella policies. The company I work for won't even sell an umbrella policy to someone unless they already carry 500k/500k

[@swingman50]

I have the million dollar policy but not uninsured motorist. I'm still covered except injury to me by an uninsured, correct?

[@ThinkInsurance]

Yes, unless your policy says different, that’s the common way most people do an umbrella

[@markfrancis5751]

I'm assuming if you do not have any net worth and barely scraping by it's not necessary.

[@InOrlando]

Don’t umbrella policies require the individual to up their liability coverage in their other insurance policies making the whole thing even more expensive?

[@ThinkInsurance]

Not necessarily. Each company does it differently. The lowest liability limits I’ve seen required are, $100,000/$300,000 on auto and $300,000 liability for home/renters. What they do commonly do is, lower the price you pay for the umbrella the higher your limits are. Side note: Some companies don’t require you to have any liability beyond auto where other companies only require the home be insured with them.

[@marianaconcep]

Also depends on the state (as a license insurance agent) @@ThinkInsurance

[@jermainejohnson1306]

Hey,my name is Jermaine from batonrouge. Do commercial truck accident carry umbrella insurance

[@ThinkInsurance]

From my knowledge no. You’ll want to double check with your agent but normally it will have coverage for liability, property damage, business interruption, theft etc… You should be able to purchase a commercial umbrella policy separately.

[@Phl-ou6vn]

You become a target having one of these umbrellas, so be careful. Most of these multicar pile ups we have today are shared blame by several motorists for the accident, which can number quite a few. It comes down to what vehicles have the deepest pockets. Usually, the semi-trucks are first and then later, to the cars or SUV's with the better insurance policies. I've seen judges not allow victims to sue policy holders at fault that have the state minimums paid out to them, so the plaintiffs go after motorists with the umbrellas next, which means you.

[@edwincordero8481]

Why do you like to give information to people, But you don't give your number to people so they could talk to you.

[@ThinkInsurance]

Because I don’t carry all the licenses for each state and I get over 400+ quote requests a month right now 🫣. I wouldn’t be able to handle it all 😞. For now… :0)

[@newairworldmissioncenter5385]

I would very much appreciate a response to a very sensitive 2 emails I sent you a week ago from our new air world mission center. Perhaps they went to your spam folder. It is the email noted on your website. Thank you.

[@ThinkInsurance]

I don’t see any recent emails 🤷🏽‍♂️