Home insurance and personal umbrella policy protection

The liability limit on your homeowners insurance policy is usually 300,000.

We have seen it as low as 100,000. 

When you purchase a 300,000 liability limit on your policy, you become eligible for an personal umbrella policy with the limits starting at 1,000,000.

Bad things happen to good people and you are not an exception.

No matter if you don’t

  • speed
  • text when you drive
  • refuse to talk on the phone while driving

You are still at risk at losing your house.

A recent auto accident of a very wealthy individual is an example of the need for at least 1,000,000 of additional liability coverage over your car, home, boat and rv.



Traveling at a low rate of speed, the cars in front of the driver slowed down.

Since the operator was towing an off road vehicle, he may not have had enough time to slow down, so he attempted to avoid the stopped vehicle in front of him but bumped the rear bumper pushing the vehicle into oncoming traffic and as a result the driver was killed when her vehicle struck a Hummer traveling in the opposite direction.

It is alleged that the driver’s auto insurance policy only had 250,000 limit.

If this is true, the driver was eligible for an Umbrella policy.

An Umbrella policy can be as low as $250 per year.

At a minimal cost of the policy, you can get at least an additional 1,000,000 of liability coverage so if something unexpected happens you can sleep at night knowing you are not going to lose your house, cars, boat and any other asset in a court judgement by a jury of your peers.

Limits needed on your underlying policies


Auto 250,000/500,000/100,000 

Homeowners 300,000

Boat 300,000

Rental Dwellings 300,000

RV 300,000


No doubt the most expensive underlying requirement is going to be to increase your auto limit to 250,000/500,000

but if you own a house, this should not be a financial decision to give much thought.


“But if I only have minimum liability limits, that’s all the attorney can take from me.”




You would be subject to an excess judgement above your limits.



If there is a 750,000 judgement for damages and you only carry minimum limits.

So if you own a 200,000 house and a few cars but only carry 15,000/30,000 auto insurance liability limits because its the cheapest,  you don’t get to just walk away with your insurance company giving the plaintiff attorney a check for $15,000.


The judgement would be


-$15,000 check from your insurance company

$735,000 balance owed to the plaintiffs.


If you have $735,000 in the bank, no problem.  

Just pay the plaintiffs and keep all your assets.

If not, assets will need to be sold.

Arrangements for restitution would be made.

What about the need for additional liability limits on my home insurance policy?


Right now you probably have 100,000 or 300,000 on your policy.

That is not enough.

Do your kids invite their friends over to play at your house?

Did you invite friends over to a recent Saints game or BBQ?

If so, you are at risk to a personal injury claim.

What about libel or slander?


Kids say and write the craziest things online today.

You could be exposed to a lawsuit.

Cyber bullying is a legitimate risk today and if your child caused harm to another child, 

your liability limit on your homeowners policy may not be enough.

Most homeowners policies have a sublimit for personal injury as low as 25,000.

You need a personal umbrella policy to properly protect you against libel and slander.

What if I rent a boat, jet ski, waverunner, scooter on vacation?


Your underlying home and auto policy may not extend to cover you.

Most umbrella policies will cover you for Vacation Rental Liability including outside the United States.


Do I need to have all my insurance policies with the same company to get an Umbrella Quote?



We do have a company that will write the Auto and the Umbrella but we also represent a company that will write a stand alone umbrella policy over your own auto and home policy.

You would not need to change companies.

If you need a stand alone Umbrella policy here are some highlights from the company

  • Available limits up to $5 million
  • Keep existing homeowner/auto insurers
  • Immediate availability
  • Will protect above auto, home, boat, or rental properties
  • New drivers accepted — no age limit on drivers
  • Up to one DWI/DUI per household allowed
  • Auto limits as low as 100/300/50 in certain cases
  • Excess UM/UIM coverage

How much does a stand alone umbrella cost?


Here is a quick quote on a 

  • married couple
  • two cars
  • no kids
  • owns a house
  • one rental property

1,000,000 $335  (.91 per day)

2,000,000 $603  ($1.65 per day)

3,000,000 $804  ($2.20 per day)

5,000,000 $1005 ($2.75 per day)

I wonder if the wealthy individual involved in the auto accident that resulted in the death of another driver would go back in time and spend $2.75 per day to protect his assets with a 5,000,000 umbrella policy?

*The above rates are used as an example and when we give you a quote it is subject to underwriting guidelines and acceptability.

How much does it cost for Auto Insurance and an Umbrella?


Here is an example of one of our customers.

  • married couple over 55
  • no kids
  • one car
  • no rental properties


Auto Insurance limits 250,000/500,000/100,000

Premium $630


Umbrella liability limit 1,000,000

Premium $287 annual


With the additional layer of Umbrella liability you would have 

300,000 on your home insurance policy plus 1,000,000 with the umbrella so any claims in reference to your house, your limit would be 1,300,000.

250,000 on your auto policy plus 1,000,000 with the umbrella so any claims in reference to the auto or autos, your limit would be 1,250,000.


What’s this all about?


Protect what you worked so hard to buy.

  • cars
  • home
  • boat
  • rv
  • atv

Because bad things happen to good people.

What could never happen in a million years, only takes a second.

Be prepared and never risk your assets in a courtroom.

  • Raise your Auto limits to 250/500
  • Raise your home insurance limit to at least 300,000
  • Get a quote for an umbrella

If you need a quote on auto, home and a umbrella

give me a call at 504.348.3131 or book an appointment that is convenient for you 

Talk to you soon

Tim D’Angelo