Sometimes, things are completely out of our control. For example, you could be at fault in a car accident or something similar and end up injuring someone who is very important and has a lot of money. When an accident occurs, you never know who is going to emerge from the other car. Sometimes the lawsuits that are involved with accidents can mean a big payout on your part. Chances are, if you are involved in an accident with the CEO of a big company, you won’t be able to afford the million dollar lawsuit that comes with it. This is what umbrella / catastrophe liability coverage is for.
Umbrella coverage does three main things for you in case of an unforeseen accident:
- Additional lawsuit coverage – Lawsuits can get extremely expensive, especially if you rent a boat or something overseas and end up crashing that boat. In the case of many different types of accidents, umbrella / catastrophe liability coverage can save you from incredibly high lawsuit costs.
- Additional defense coverage – If you choose to hire a reputable defense lawyer, it can cost you upwards of $100,000. Umbrella / catastrophe liability coverage will cover most additional defense costs so that you’re able to adequately have your case argued in a court of law.
- Liability not covered by normal insurance – Some things happen that your insurance just doesn’t cover. Rare events or things that aren’t necessary under most insurance coverage plans can be covered under umbrella / catastrophe liability insurance so that you’re never blindsided by an unfortunate event.
While you may think that umbrella / catastrophe liability coverage is an extra, unnecessary type of insurance, you should remember that no one can predict the future. The world is out of our control and there are times when things happen that can completely alter the course of our lives. If you happen to get into one of these situations, you’ll be able to take a deep breath of relief, because you know that you’ll be able to handle just about anything thrown at you. Learning all of the ins and outs of umbrella / catastrophe liability coverage can be a daunting task; at Wachter Insurance Agency, we will discuss any benefits or drawbacks of purchasing coverage before you make a decision.
Wachter Insurance Agency opened its doors in 1969 and incorporated in 1996. A family owned and operated agency—now with the 3rd generation actively participating. We are an independent agency representing the ERIE Insurance Group, Progressive, AIC – Agency Insurance Co., Foremost, Chesapeake Employers Insurance, and Wright Flood. Offering auto, home, motorcycle, boat, flood, business and life insurance coverage. If you have any questions or you’d simply like to talk to a representative, please feel free to contact us at 301.371.6335.