Excess Liability Insurance Explained

Excess liability insurance People commonly misunderstand excess liability insurance primarily because its title suggests it may be unnecessary. However, this coverage can prove to be a financial lifesaver for individuals and businesses.

If you’re in the large group of people in the “misunderstood category,” you will no longer be a member once you read this explanation. Excess liability coverage affordably addresses two major issues.

Why Excess Liability Protection?

  • Your auto, home or business insurance package does not cover some types of liability; your excess liability policy will protect you.
  • You face lawsuits for more than the liability limits of your other policies, excess liability coverage protects you for the higher amount.

Excess Liability Insurance Equals Umbrella Coverage

Umbrella insurance is the more descriptive name for excess liability coverage. This protection fills in gaps in your other policies (auto, home, business). For example, you have $300,000 maximum liability protection from your other policies, but you’re sued for $800,000.

A $1 million umbrella policy will step up to cover the other $500,000 ($800,000 minus $300,000) risk. You can choose personal or business umbrella coverage–it’s available from most property and casualty insurance companies.

To learn more about the protection and affordability of umbrella coverage, contact Sagen & Associates, a full-service independent insurance agency serving the Brodhead, Wisconsin area for over 30 years. You’ll be pleasantly surprised at the affordability of this protection when you get a Sagen & Associates quote. Call Kori Sagen or Bill Hantke today.