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How Does Personal Umbrella Insurance Protect Stowe Homeowners?

Most homeowners in Stowe are not covered under a personal umbrella insurance policy, let alone know what one protects; instead they hold multiple personal insurance policies that are disjointed and troubling. Basic umbrella coverage acts as a way to increase your insurance limits on everything you own that needs to be insured, all in one convenient package.
Personal Umbrella Insurance Stowe

How Does Personal Umbrella Insurance Work in Stowe?

Insurance policies usually reimburse you a certain amount of money in most situations where you are injured, or your possessions are damaged/destroyed. Policy limits vary according to how high you want the limit to be, your insurer, what is being insured, etc. What remains the same across every standard policy though is that there is a maximum amount of money the insurance company is obligated to pay you or someone you injure. An umbrella policy extends those limits higher and it usually covers more than just one type of policy. If more damage is done than your maximum policy limit, personal umbrella insurance would help to pay the rest, up to the limit of the umbrella policy. It effectively creates an umbrella on top of all of your existing policies, covering you if something very bad were to occur.

What Kind of Extra Coverage Do Stowe, VT Policyholders Receive with a Personal Umbrella Insurance Policy?

Umbrella coverage will usually cover events other than what your normal policies would. If you are sued for libel or slander, having umbrella coverage could keep you safe from the large legal bills that come with having to defend such charges. On top of this, your current policies basically get a bump upwards in terms of limits in order to keep you better protected. For example: your home, auto, and boat insurance policies all have different limits, with umbrella coverage, those limits typically go up to the amount stipulated in the contract. 

Who Needs Umbrella Coverage the Most?

While umbrella policies are available to almost anyone, the people in Stowe who get the most benefit from this type of policy are high net-worth individuals. For instance, the chances that an 18 year old driving a clunker would cause enough damage in an auto accident to trigger umbrella coverage are much lower than a 65 year old who drives a luxury import. Some insurance companies in Vermont will only allow their limits on standard policies to go so high before they cannot adequately factor the risk to calculate a fair premium. 

An umbrella policy is most often recommended for those who own expensive cars, since property limits on most auto insurance policies are relatively low compared to how much a nice car might be worth. According to Property Casualty 360º, nearly 80% of claims under an umbrella policy come from car crashes and other vehicle-related incidents.

Having the option to add an personal umbrella insurance policy onto your current plans should be a comforting thought if you decide to build a large home or buy an exotic car. Though there are few natural disasters in Stowe, if the worst were to happen, you would be thankful for the added protection.

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This material is for informational purposes only. All statements herein are subject to the provision, exclusions and conditions of the applicable policy. For an actual description of all coverages, terms and conditions, refer to the insurance policy.

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