I really like the coverage of those big golf ones but I’d feel like a doofus carrying that on the streets
Friend recently got into an accident. Basically maxed out there car insurance coverage. Which I guess from TMB lawyers can probably say it is normal and unless there is a massive amount of negligence, these usually don't go over the car insurance limits & having ppl going after your house/savings/etc. But it did get me thinking and worried about that situation a bit. I don't want to get fucked and lose my life savings b/c some asshole on a motorcycle is speeding got really hurt...but I would be at fault.
Basically a catch-all insurance that goes above and beyond your home owners/car insurance coverage limits if you get sued for something. Bad accidents, dog bites, something falling on your property, etc
A plup (personal liability umbrella policy) is an extra insurance policy that covers you above what your auto (or homeowners or whatever) policy’s limits are. It protects (partially!) your personal assets if you’re responsible for injuring somebody or their property. Hopefully keeps the other party from going after your house, for example.
Last time I looked into a policy, I was told I need to max out the coverage on other policies before securing an umbrella policy. Anyone know if that's actually true?
Yes. It's one of those things that I hear people who seem like they have their shit together talk about having, so once I sorta started feeling like I had my shit together and my insurance agent suggested one I just said yeah give me some of that.
Looks like a do for $1million to cover my residence and vehicles. Dirt cheap, it's like $180 a year but discounted to $100 cuz of bundling I assume.
Generally your homestead, your retirement accounts and your car are protected assets. If you have a bunch of other stuff you need to make sure your insurance will cover you Umbrella policies are usually pretty cheap
Probably depends on the carrier but yeah. Generally umbrella policies only kick in one your primary insurance policy is exhausted. So the umbrella underwriters will want you to have high primary policy limits so it’s unlikely their policy will ever be touched
That was my hang-up. We just bought a house, so we probably should look into it, but maxing out auto, homeowners and umbrella in addition to HOA fees which cover some potential home damages is a kick in the nuts.
Also, generally the big cost of insurance is getting the policy. Increasing your limits/coverage is not that expensive like the difference between me having 50k in liability coverage and 1m in coverage is less than $200/year
Got one effective as of 2/1. My friend is my insurance agent and without me asking he looked into new homeowner's policies to see if anything better/cheaper was out there. He did me a solid and ended up saving me $600/year on HO insurance, so I figured I could at least return the favor and get a ~$150-200/year umbrella policy so he'd get a little extra commission. Figured it was win/win.
Just added $1 million at $160 per year for funsies. I have no assets to protect, but at least I’m in the club now.
This is me in the last 12 months. All because of TMB. I guess needing all this stuff is a good problem to have.
I personally got my umbrella policy so I could troll $P1 with impunity. I just won’t ever admit to what my policy is worth.
you really only need it if you have a bunch of assets. agents do a good job selling them because they make people feel rich
if your net worth exceeds the liability limits on your auto and home policy, it’s probably a good idea to have an umbrella policy
Sort of but not really If you have six figures in a brokerage account and are underinsured and something happens then that six figures is going to be in someone else’s brokerage account
yeah, someone with six figures in a brokerage account likely falls into the “bunch of assets” category
I got a quote this morning from the company that handles my auto & home - 1m umbrella would cost me around $1,200 a year. That can't be right. One of my coworkers in a similar financial / life situation as me just got his for around $250 or so. Going to give his ins guy a call.