Umbrella Insurance
Umbrella Insurance Coverage
Umbrella insurance is a form of insurance that you can use to get additional coverage for an existing policy. Umbrella insurance will extend coverage of an existing policy, or multiple policies, through offering additional coverage.
Excess vs. Umbrella Insurance Coverage
Excess and umbrella insurance are both forms of insurance that extend existing coverage. However, the difference between umbrella and excess liability insurance pertains to how the coverage is structured.
Excess liability insurance typically extends a single insurance policy, while precisely following the terms of the existing policy which it was acquired to extend.
Umbrella insurance, however, can apply to one or more policies, and can include provisions that modify or broaden the terms and conditions of coverage for those policies.
For example, if you have an existing policy that offers general liability coverage up to one million, an umbrella policy could extend your coverage to a higher limit of five or ten million. An excess policy might be able to do the same thing - however, an umbrella policy could potentially add some additional terms and conditions, or perhaps provide a limit extension that would apply to multiple policies that you own. On the other hand, the excess policy would only extend the general liability coverage limit under the same terms of the primary general liability policy.
Choosing excess liability insurance vs umbrella insurance depends on the type of coverage you are looking for, and how you would like the coverage to interact with an existing policy or policies - whether to preserve those terms, or perhaps supplement or broaden them.
Umbrella Insurance vs. General Liability
Umbrella liability vs. general liability are not exactly equal comparisons, as they describe different types of insurance coverage. Umbrella insurance providers typically offer coverage that might extend or supplement existing general liability insurance, but would not necessarily replace it. General liability insurance helps to protect your business against claims regarding property damage or bodily injury, while an umbrella policy could broaden these terms according to additional provisions, and could do so with higher limits.
Looking for Commercial Liability Insurance? Learn more about general liability insurance for businesses.
Stand Alone Umbrella Insurance
A stand alone umbrella policy not only offers liability coverage beyond the terms of a basic policy, but also can function independently of other policies. For example, someone could purchase a stand alone umbrella policy that offers personal liability coverage. This umbrella policy, as a stand alone policy, could be effective regardless of any other policies that that the insured has in place. In the event of personal liability claims, the insured would have the option to process claims through the stand alone umbrella insurance or a different policy based on the situation and the insured's discretion.
Other (non-stand-alone) types of umbrella policies might require a claim to be processed through a different insurance first before the umbrella policy could take effect.
If you are looking for stand alone umbrella insurance companies, a Guardify agent can help you research and compare quotes based on your requirements, so that you find the best fit policy for your insurance goals.
How Much Umbrella Insurance Do I Need?
When it comes to umbrella insurance, one size does not fit all. The amount of umbrella insurance that you need may depend on the potential cost of risks that are not covered by other policies. The cost of these risks could vary significantly based on the type of risk or asset that you are seeking additional coverage for. While Guardify does not offer an umbrella insurance cost calculator, Guardify agents can discuss your risk concerns with you, compare umbrella insurance quotes, provide a personal umbrella insurance quote, recommend policies and provide quotes from multiple carriers at market rates so that you get the best umbrella insurance policy quote for your needs.
Umbrella Policy Texas
If you are looking for an umbrella insurance policy in Texas, Guardify can help you find insurance solutions that will help you get the coverage you need. Texas business owners, property owners, and individuals may need to acquire a policy with higher limits or different terms than are typically included in a standard liability policy. If you’re not sure whether you need umbrella insurance, or how much might be applicable to your circumstances, a Guardify agent can help you assess your risks and find the right policy for your insurance strategy.