Do you have one?
If you have one, how much coverage do you have and how did you (or you and your insurance agent together) determine/decide the amount of coverage that was appropriate for you?
I don’t but I’ve read so much about them and I likely should.
If you have significant assets, it’s likely a good thing and they say they’re not that much money.
yes, its pretty cheap ins.
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I don’t know for how much but we have one.
We bought for the amount equal to our savings excluding our house and 401k
Yes we have one. I can look up the limits but I do recall you have to have a certain coverage level to start on your auto and I think also homeowners insurance first.
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We have one for $5 million. I don’t remember how the insurance company figured out the amount.
Per advise of a friend, we added Umbrella to our Allstate policy when our kids started driving. We’ve kept it. The insurer will want certain coverage minimums on Auto/Home too
Minimum coverage is usually $1 million. My thought is that having the insurance lawyers available will discourage any unmerited suits. And of course if unfortunate stuff happens, it’s good to not have the nest egg at risk.
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We have a couple million. But when I run through the calculator you linked, it says that generally retirement plans and your home are protected, so you really only need to cover what you have other than that. Since our net worth is mostly in those two things, seems like we’re over insured.
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I’m not positive what ours is—maybe $2mm-$5mm. It is as $1mm for a long time but the agent convinced us to raise it a bit.
After discussions here on CC last year I got an umbrella policy for (I think?) about 1 million. It was something like $300 a year (and we are in a very expensive state). Not much money for some security/piece of mind …
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I got my renewal bill over the weekend. It used to be part of my homeowner’s policy, but in recent years they separated it out. $1,000,000 (well more than our net worth including our house) for $271/year.
My parents convinced me to have one when I ran our local swim team for the YMCA. Since I was a volunteer and the Y management barely tolerated our existence, they said the Y would not cover me if something happened. It’s a small drop in our car/homeowner’s insurance bill, so I figured I’d keep it.
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We have a $5,000,000 umbrella policy. It’s not very expensive. Our financial planner agreed we should keep this coverage.
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Thanks to this thread - I emailed my broker last night asking about this. So thanks for starting the thread.
It’s come up b4 - not sure why I didn’t get.
Last thing you need is an amazon delivery guy slipping on the step in front of your home and wiping you out.
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We have $2 million in coverage. Not sure how we arrived at that but if we were to be sued I think it’s enough so that the insurer would want to provide a good defense.
Be sure to ask about uninsured/under-insured coverage. Some policies provide it, with others it’s an inexpensive rider, some just don’t have it at all. To me this is the coverage I care most about. Someone runs into you and is at-fault. Your car is totaled, you can’t work for a few months, you’re in a lot of pain. The other party doesn’t have insurance, or has the state minimum such as $15K. Without this insurance once the $15K is exhausted (if they even have insurance) nobody pays for your car, your lost wages, your pain and suffering.
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The best thing about insurance is they provide a good law firm to represent you in case there is ever any lawsuit. They do examine your coverages for all your policies and let you know if limits are high enough before issuing you an umbrella.
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While home may be protected in most states, if you are a significant wage earner or have other significant assets, umbrella coverage is a good idea. It does not take much for a personal injury claim to exceed $500,000, and a plaintiff attorney is not just going to take the limits of your primary liability policy if the claim greatly exceeds those limits and you have high wages or assets.
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Yes. We got one as soon as our kids started driving. We probably should have gotten one even sooner.
And, on the protecting yourself from liability theme, once your kids turn 18, be sure to title their cars in their names . . . that way, if they wreck a car and injure someone, they are not wrecking YOUR car, making you liable as the owner.
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When looking at prices, I was surprised that the incremental costs for each extra million looked about the same as the first million. It seems like there is more likelood of under-millon$ suits.
I find it confusing figuring out if 401K/IRA are protected from lawsuits after retirement. A quick skim of this article leads me to believe “it’s complicated” - glad we have umbrella coverage.
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Our policy is $2M. Wondering if we should revisit that…
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