February 10th is National Umbrella Day, and what better time is there to share all of the amazing benefits you can receive when you purchase an umbrella insurance policy at your next renewal? The term is lost on many, and the coverage truly does not receive the media attention that it should! That is why we are here to tell you how you will benefit from having an Umbrella Policy of your very own.

What is an Umbrella Policy?

The stand alone term is ambiguous enough, and it is not every day that we see an insurance commercial that diverts too far away from the standard “home and auto” policies we already know we need. So, what is it? We are so glad you asked. Simply put, Umbrella insurance is an extension of your existing liability limits. Liability insurance covers any harm you do to others and/or their property. Let’s say you have your home and auto insurance through BMI (and how smart of you, seeing as that already comes with a hefty discount!). Now let’s say that you lose a lawsuit over a car accident or an accident occurs on your property. You will be expected to pay for those damages one way or another. All of your assets will immediately be at risk. 

Who is Umbrella insurance for?

Now, we know what you may be thinking. “I don’t have many assets,” you tell us. “This doesn’t really apply to me.”

Well, the kicker is that, while you may be young or starting over on your finances now, you will unlikely be in that boat forever. You’ll build wealth over the years of your life and career. The other party involved in the lawsuit knows this all too well. This is why your current assets are not the only things at risk in events like these. All future assets are as well. Until the debt that you’ve accrued is completely paid off, the courts will garnish wages. This means that one tiny mistake could actually haunt you for years to come–maybe even the rest of your life.

It may sound like we are trying to scare you at this point, so let’s look at the positives! Enter: Umbrella Policy. This policy is here to bring your protection to the next level. It takes the liability limits of your existing home, auto, and every other policy you carry, and it maximizes the potential. Having maximum liability limits per policy can still fall short of what is needed for major accidents, but having an umbrella policy instantly multiplies your personal liability coverage by as much as four times the maximum limit, per policy.

 How do I sign up?

As long as your primary home and auto is insured through BMI, you will qualify! Simply call your BMI agent and ask what all the umbrella fuss is about, and you’ll be well on your way to the ultimate protection you and your family can receive. Sleep soundly knowing that your riks is in our hands, and we’ll take care of the rest!