What Is a Homeowners Liability Umbrella Policy, and Do You Need One?

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What Is a Homeowners Liability Umbrella Policy, and Do You Need One?

Most people think having a standard insurance package is enough, be it for their car, their home or their boat. However, sometimes the upper limits of those policies don't end up covering the costs of an incident that results in an insurance claim. That's where umbrella insurance policies come in. 

Umbrella policies are lifelines that can protect people from excessive financial distress if a costly accident happens. They extend coverage to claims that end up costing more than the maximum limit of your current policy — and they can be lifesaving should the unexpected occur. But do you really need one for your homeowners policy? Learn more about what umbrella liability policies are and how to determine if it's in your best interest to purchase one before you decide.