Most people know they need insurance to protect their homes, cars, and health. But too few realize the importance of umbrella insurance. Umbrella insurance provides an extra layer of protection against major liability claims and lawsuits, which can easily drain your savings and assets. If you’re considering buying umbrella insurance, RH Worthington Group in Milford, PA offers this guide on five mistakes to avoid.

Umbrella Insurance: What You Need To Know

1. Not Understanding What Umbrella Insurance Covers

Umbrella insurance is designed to protect against major liability claims and lawsuits. It typically covers expenses related to bodily injury, property damage, and certain personal liability situations. But umbrella insurance doesn’t cover everything – be sure to read the fine print to know what’s included and what’s not.

2. Buying the Wrong Amount of Coverage

Many people underestimate the amount of umbrella insurance they need. A good rule of thumb is to buy coverage that’s equal to at least 1-2 times your net worth. This will ensure you have adequate protection in case of a major liability claim or lawsuit.

3. Not Reading the Fine Print

When buying umbrella insurance, it’s important to read the policy carefully to know what’s covered and what’s not. Otherwise, you could be left with unexpected out-of-pocket expenses if you have to make a claim.

4. Lying or Omitting Important Information

When applying for umbrella insurance, it’s important, to be honest about your assets and income. If you lie or omit important information, your policy could be void if you have to make a claim.

5. Going With the First Policy You Find

It’s important to shop around and compare policies before buying umbrella insurance. Not all policies are created equal, so be sure to find one that meets your needs and budget.

Get Umbrella Insurance in Milford, PA

Umbrella insurance is vital for financial protection, but only if you avoid these five mistakes. RH Worthington Group can help you find the right umbrella insurance policy for your needs. Contact us today for a free quote.