Umbrella policies supplement the liability coverage you already have through your home and auto insurance and provide an extra layer of protection. They're really not just for the wealthy. They're really for anyone who has assets that might be at risk if they cause a serious accident. When you buy a personal liability umbrella, you're getting more than just higher liability limits. You're also buying broader coverage in case you're sued. The company selling the umbrella policy agrees to cover you if you cause bodily injury, property damage, or personal injury. It is the personal injury protection that goes beyond the coverage in your auto and some homeowners policies. Generally, personal injury encompasses false arrest, false imprisonment, malicious prosecution, defamation, invasion of privacy, wrongful entry, or eviction. most primary policies cover bodily injury and property damage, but not personal injury. Certain umbrella policies also provide coverage if you face liability arising from your service on the board of a civic, charitable, or religious organization. Protection against claims and lawsuits does more than simply pay for the damages. Even if a lawsuit is frivolous, you still face the expense of defending yourself. There is a saying: "Talk is cheap, unless it's an attorney." Your liability coverage will pay for lawyer fees and defense costs, which can add up quickly. THE WASHINGTON POST reported that President Clinton's personal liability policy paid more than $1,000,000 toward his defense of the Paula Jones sexual harassment case. Even in a less-publicized lawsuit, attorney fees and defense costs can mount quickly. Of course, there are exclusions in the umbrella policy.Your umbrella policy won't necesarily pay for punitive damages or claims arising out of a business endeavor. If you own a business --even a small one--you'll need to buy a business insurance policy to be covered against liability claims. Please give us a call to discuss your need for this asset protecting coverage. At a time when million-dollar verdicts aren't uncommon, umbrella policies are worth considering. Often a $1,000.000 policy is less than $200.00 per year.