Click to Call
Craig Insurance Group Inc

309 W Millbrook Rd, Suite 151
Raleigh, NC 27609

Get Directions

What exactly is umbrella insurance and why do I need it?

Umbrella insurance is one of those types of insurance that makes most people just shake their heads. They are not sure exactly what it is and why they need it. At Craig Insurance Group in Raleigh, NC, we want to make sure that all of our clients know what umbrella insurance is and why it would be a good idea to have it. As independent insurance agents, it is our job to provide our clients with the information they need to make informed decisions about coverage. 

It is not surprising that the term umbrella insurance confuses people. It is not insurance that protects your umbrella. But, if you picture an umbrella and the type of protection it offers you from a rainstorm, you get a better idea of why it is called umbrella insurance. 

In order to purchase umbrella insurance, you already need to have a primary policy that has liability coverage. Umbrella is excess liability coverage above and beyond what your policy has. When you have an umbrella policy, it works with all the other liability coverage that you have. It can protect your assets from legal action from an auto accident, injury at your home, and more. 

What liability insurance does is protect your assets. If you have no assets, then you don’t need umbrella insurance, but most people have more assets than they realize. If you get sued, your assets could be lost to a judgment against you if you don’t have enough liability coverage. A typical umbrella insurance policy starts at one million dollars and goes up from there. With the size of judgments these days, having enough liability insurance is essential. You don’t need to be wealthy to benefit from this important insurance coverage.  

Contact Craig Insurance Group in Raleigh, NC for all your umbrella insurance needs. 

How does Umbrella Insurance Work?

Umbrella insurance is also known as excess insurance. It is a type of liability insurance, and it is available for commercial or individual coverage. Liability is the equivalent of being legally responsible, and the dollar amounts for liability can be high. Umbrella insurance is there to protect you when your standard policies can no longer do so. Craig Insurance Group serving the city of Raleigh, NC is here to assist you to navigate the meaning of liability and the policies that provide cover for this.

Umbrella insurance works the same way that an umbrella would in the rain if you are already wearing a rain jacket. It helps protect you from a downpour. Umbrella insurance is not a primary policy and has to be purchased as an additional policy for when a disaster becomes a catastrophe. In simple terms, it means that you have experienced so much disaster that your standard or primary liability policies are exhausted. The umbrella insurance acts as a backup to help pay for any legal liabilities. When working with your umbrella insurance policy, it needs to tie in with your other more general liability policies and run concurrently. Furthermore, it may be that between your standard policy depleting and your umbrella insurance kicking in that you may need to pay a deductible.

Umbrella insurance policies will either offer duty to defend or indemnity coverage if there is a lawsuit. Duty to defend is when the insurer defends the insured in a lawsuit. Indemnity is when the insured pays for this defense first and may, depending on the policy wording, be reimbursed.

If you find yourself in a situation where there is a strong possibility of liability, then we recommend that you contact the Craig Insurance Group serving the city of Raleigh, NC today.

What Does Umbrella Insurance Cover?

Most insurance coverage options only cover you up to certain existing limits. This means that there are specific limits that such plans may not cover. So, what do you do in case you need a plan that covers you beyond existing insurance limits in Raleigh, NC? Well, this is why umbrella insurance from Craig Insurance Group exists. 

What Is Umbrella Insurance Coverage? 

An umbrella insurance policy is a plan that offers the insured protection beyond existing limits. This option goes the ordinary to provide insurance coverage for instances of injuries, property damages, and specific lawsuits that exceed the scope of typical insurance coverage. 

Umbrella insurance cover often takes over, where most other insurance plans leave off. The policy makes you indispensable when you find yourself liable for a claim more significant than your insurance.     

Benefits of Umbrella Insurance Plan

You could be wondering what the fuss around umbrella insurance is all about, right? Well, this insurance option provides some key benefits, which most people don’t know about. Here are some key advantages. 

Cheaper Than Most Other Options

Compared to other personal insurance options, umbrella insurance is cheap. This is a unique aspect considering that umbrella insurance offers an extended plan. 

It’s Comprehensive

Most personal plans only cover the policyholder. However, when you consider umbrella insurance, you get coverage for members of your family and household. The plan also protects third parties. 

Get Coverage for Your Property and Beyond 

No insurance coverage can guarantee you protection for your property and beyond. This is more so considering the existing limits salient in most plans. However, our umbrella insurance plan at Craig Insurance Group offers more than what’s ordinary. 

Are you a resident of Raleigh, NC, and wonder where to get reliable umbrella insurance coverage? Contact our team at Craig Insurance Group today for reliable advice and coverage. It’s time to get covered.

Partner Carriers

  • American Modern
  • Dairyland
  • Foremost
  • National General
  • Nationwide Insurance
  • Progressive
  • Strickland Insurance Brokers
  • Tapco
  • The Hartford
  • Travelers
  • US Assure