Umbrella policy

[salzerj@comcast.net]

Originally Posted by Sanford

Anyone have thoughts regarding umbrella liability policies? Should we have one?

If you have amassed some wealth you cannot afford to be unprotected. If you don't have much net worth, you might not have to have it. Better to be wealthy and pay the small price for "umbrella" coverage. Be sure that your primary "underlying coverage" matches the umbrella's requirements...usually a bit elevated from the normal liability policy.

[Wiley1]

Originally Posted by CTRvs666

if you are at fault, you are at fault.

If I am at fault, nobody is going to see that video except me.

[Pabs4]

That’s a big YES on the umbrella policy!

Pam

[ador]

I asked our Statefarm agent about this. Like what others have said, we have to increase some of the liability coverage to meet the requirement for the $1M umbrella Policy.
We currently have 3 cars in our household + the RV. The monthly premiums for each car will increase by $4-$9 per month to meet the requirement. The umbrella policy is $681/year ($56.75/month).

So my total Monthly Payment with the increase and umbrella policy will be $498/month.

How much do you guys pay for $1M umbrella policy? I have not decided yet if I will ad the policy or not. But it do sound like a good policy to have (just in case).

[Wiley1]

Originally Posted by ador

So my total Monthly Payment with the increase and umbrella policy will be $498/month.

Did you mean to say what you said?
It can't be $5,976 per year.
.
Did you ask what it would cost to raise your house and car to $1M or $2M instead of getting an umbrella?

[AJMike]

I don't disagree about an umbrella policy, but I sometimes think that if there is an issue the opposing lawyer just takes a look at the size of your policy and then decides what to ask for. 1 million dollar policy, ask for 1 million, 5 million dollars policy, ask for 5 million. I am just not sure how much good the larger policy gets you in the end.

[ador]

That $498/month is with the 3 cars, 1 RV policy and the Umbrella Policy for 1M.

The Umbrella Policy is $681/year.

Originally Posted by Wiley1

Did you mean to say what you said?
It can't be $5,976 per year.
.
Did you ask what it would cost to raise your house and car to $1M or $2M instead of getting an umbrella?

[Wiley1]

Originally Posted by AJMike

I don't disagree about an umbrella policy, but I sometimes think that if there is an issue the opposing lawyer just takes a look at the size of your policy and then decides what to ask for. 1 million dollar policy, ask for 1 million, 5 million dollars policy, ask for 5 million. I am just not sure how much good the larger policy gets you in the end.

I think you're asking why anyone would need a $2M policy when $1M is enough to get the insurance company to fight for you.

The difference would only matter if you lost a suit and the damages were greater than $1M. Liability policies have "per accident" and "per person" limitations. The costs add up fast when there are multiple people injured.

As long as you are fairly confident that you won't broadside a school bus full of kids, $1M should be enough.

[Bob Denman]

Wiley
Is your background in personal injury law, or insurance?

[Wiley1]

Originally Posted by Bob Denman

Wiley
Is your background in personal injury law, or insurance?

Neither of those. I'm an IT geek and I run a small business. I've been a smart consumer of insurance policies for over 51 years and I've had many in-depth discussions with agents and adjusters.

The best advice I've been given about insurance:
"Never insure anything that you can afford to replace."

Now that it is paid off, I'm thinking of dropping the collision and comprehensive coverage on our 2019 Honda Pilot Touring. But, I will keep the liability at $2M.

[Bob Denman]

I guess that since I've only been selling insurance policies for 43 years: I'll bow to you vast years of non-related experience...

[Wiley1]

Originally Posted by Bob Denman

I guess that since I've only been selling insurance policies for 43 years: I'll bow to you vast years of non-related experience...

Bob:

Seriously? You want to make this discussion confrontational?

I've expressed my personal philosophy, experience, and opinions that I believe will help others to make an intelligent decision about their insurance purchases. Exactly what did you find offensive in that?

Perhaps you have a conflict of interest because the more you sell, the more $$ you make.

Instead of attacking me personally, why don't you point out something I've said that you don't like? You might even offer a few opinions of your own and back them up with some facts.