At BrokerLink, we work with you to ensure what you want covered is covered with no surprises. One of the ways we make sure there are no surprises is by offering umbrella insurance. This type of coverage acts as an extension of your existing home or auto insurance policies. If you are ever faced with a claim or lawsuit that surpasses your liability coverage, umbrella insurance can cover you for the remaining amount.
Why would I need umbrella coverage?
When you purchase insurance, included in your policy is a specific amount of liability coverage. However, the amount of this liability coverage may not always be enough to completely cover you in certain situations.
For example, if a fire to your home damages your neighbours’ properties in the amount of five million dollars, you could be found liable for the damages. If you purchased two million in liability insurance, the remaining three million dollar difference could be covered under umbrella coverage. Likewise, what if your teenage driver were involved in a collision while driving a friend, and a lawsuit was filed that exceeded your liability coverage? Umbrella insurance could come to the rescue by covering the remaining amount.
What can umbrella insurance cover?
You can purchase umbrella insurance to extend your liability coverage for residences and vehicles you own within Canada. By paying one umbrella premium, you can cover multiple homes or vehicles.
It is usually more affordable to purchase one umbrella premium to be applied to multiple homes and vehicles, than it would cost to individually increase liability coverage for each item. The amounts you are able to extend your liability coverage for differs by insurer, so speak to a BrokerLink broker to discuss what your options are.
Umbrella coverage follows you
Umbrella coverage will follow you around the world. For example, if you accidentally start a fire in a hotel room, the umbrella coverage you have on your home insurance policy can cover you for amounts in excess of your liability coverage.
This same principle will apply to you if you are involved in a car accident while driving a rental car when on vacation.
Umbrella insurance is an affordable way to be proactive and avoid surprises down the road. It is a great way to maximize the liability protection you have for you and your family. Contact a BrokerLink broker today to discuss what types of umbrella insurance coverages are available to you. Let us cover you with umbrella insurance to protect you from any rainy days ahead.
