Umbrella Insurance

What is umbrella insurance?

Protect your savings, property, and future income from large liability claims.

Umbrella insurance provides an extra layer of liability protection beyond your home, auto, or rental policies. It helps cover large lawsuits or serious accidents that could otherwise put your assets at risk.

What does umbrella insurance cover?

Umbrella insurance kicks in after the liability limits on your home or auto policy are exhausted. It typically covers:

  • Bodily injury or property damage lawsuits

  • Legal defense costs (even if the claim is groundless)

  • Libel, slander, or defamation claims

  • Liability related to rental properties you own

How much umbrella coverage do I need?

Most umbrella policies start at $1 million and can be increased to $10 million or more.

A good rule of thumb is to choose a limit that covers the total value of your assets, including:

  • Home equity

  • Vehicles, boats, or RVs

  • Savings and cash accounts

  • Investments and retirement accounts

  • Personal valuables (such as jewelry or art)

As your assets grow, your liability exposure grows too. Reviewing your umbrella coverage regularly helps ensure it keeps pace with your financial life.

Do I need umbrella insurance?

If you have assets—or future income—to protect, umbrella insurance is one of the most affordable ways to safeguard them.

You may want umbrella coverage if you:

  • Own a home or rental property

  • Have significant savings or investments

  • Have teen drivers or frequently host guests

  • Volunteer, serve on a board, or have an online presence

Everyday situations—car accidents, slip-and-falls, or personal liability claims—can quickly exceed standard auto or homeowners limits.

Without umbrella coverage, a major lawsuit could put your savings, home equity, or future earnings at risk. An umbrella policy provides added peace of mind by protecting what you’ve worked hard to build.

How to qualify for umbrella insurance

Umbrella coverage sits on top of your existing policies, so insurers typically require minimum liability limits on your underlying coverage.

Most carriers require:

  • Homeowners or renters insurance with at least $300,000–$500,000 in personal liability coverage

  • Auto insurance with higher liability limits (commonly 250/500/100 or 500,000 CSL, depending on the carrier)

  • A generally clean driving and claims history

Once those requirements are met, an umbrella policy activates after your underlying limits are exhausted.

Why it’s worth it

Protects your assets from large or unexpected lawsuits

  • Covers legal defense costs, even for complex claims

  • Extends protection across multiple homes and vehicles

  • Provides peace of mind that one incident won’t undo years of financial progress

Umbrella insurance is often one of the most cost-effective protections available, offering significant coverage for a relatively low annual premium.

Add an extra layer of protection before you need it.

Related Products