Umbrella insurance provides extra liability coverage beyond your standard homeowners, auto, or boat policies. Knowing when to file a claim can save you money and protect your assets. At F.I.R.E. Leaders Financial, our team is here to help you understand when it makes sense to utilize your umbrella insurance policy.
Major Accidents or Injuries
Consider filing an umbrella insurance claim if you’re involved in an accident that causes serious injury or significant property damage. For example, if a guest is seriously injured on your property or you cause a multi-car accident that exceeds your auto policy limits, umbrella insurance can cover the excess liability.
Lawsuits and Legal Costs
Umbrella policies often cover legal defense costs in addition to settlement amounts. If you’re being sued for damages that exceed your underlying policy limits, filing a claim can help pay attorney fees, court costs, and settlements. This coverage ensures that unexpected lawsuits do not drain your finances.
Property Damage Beyond Standard Coverage
Standard insurance policies sometimes have limits that are insufficient to cover large-scale property damage. If an incident results in damage above your homeowner’s or auto policy limits, filing an umbrella claim allows you to access additional funds for repair or replacement costs.
Situations to Avoid Claiming
It’s important to note that umbrella insurance is not intended for minor incidents or small claims that are easily covered by your primary policy. Filing claims unnecessarily can increase premiums or complicate future coverage. Save umbrella claims for serious liability issues.
Reach Out to F.I.R.E. Leaders Financial in Eagan, MN
At F.I.R.E. Leaders Financial, we’re proud to serve the Eagan, MN area, and we’re excited to get to know you and help you with all of your insurance needs. Reach out to our team today to schedule a consultation and learn more.
