When searching for insurance, you may quickly become overwhelmed. It doesn’t even matter if you are searching for insurance for your home, automobile, or your business, it can quickly become overwhelming. You have to learn different terms so that you can find the right plan for you.

One term that may come up is umbrella insurance. So, what is it? 

Umbrella insurance is not a stand-alone policy. In fact, it is added to your current policy, whether you add it to your home, automobile, or business policy. 

You may get umbrella insurance to cover expenses that go over your limit when it comes to your home or automobile insurance. Your home and automobile insurance may have a limit to how much they will pay. Once they hit that mark, they won’t give you any more money. If your medical bills go over that limit, you are going to have to pay that out of pocket, unless you have umbrella insurance. It will kick in and start paying at that point.

You may also want to consider umbrella insurance if you have expensive jewelry or art. Your homeowner’s policy will only go so far when it comes to your possessions. If you have some things that are quite costly, such as jewelry, you may want an umbrella policy to help cover these items. 

An umbrella policy isn’t a stand-alone policy. Instead, it kicks in when your other insurance hits their limits, making sure that you aren’t paying too much out of pocket. It also protects your possessions if you own something expensive. 

If you think that you want to add umbrella insurance to your current plan (or find a better fit for you), don’t hesitate to contact us today at The Policy Source in Austin, TX.