Personal umbrella
An umbrella is valuable only when the foundation beneath it is correct.
Underlying limits, eligible risks, ownership and exclusions determine how the policy responds.
What an umbrella does
A personal umbrella may provide additional covered liability limits above scheduled underlying home, auto, landlord and watercraft policies. Some forms also provide limited broader coverage, subject to a retained limit and exclusions.
Underlying requirements
The carrier may require minimum home and auto liability limits. If an underlying policy is missing or below the required limit, the household may be responsible for the gap.
Every exposure must be disclosed
Rental homes, vacant land, trusts, LLCs, boats, golf carts, ATVs, youthful drivers, foreign properties and vehicles supplied by an employer may require scheduling, special handling or another policy.
Defense and exclusions
Review whether defense is outside the limit and understand exclusions involving business activities, intentional acts, professional services, abuse, certain vehicles, contractual liability and uncovered household members.
How much is enough
There is no single formula. Consider assets, income, future earnings, number and age of drivers, properties, recreational exposures, public profile and the severity of plausible claims.
Complete household protection