Should Landlords Have An Umbrella Policy?
As a landlord, you likely understand the importance of protecting your property and assets. However, you may not realize the significance of having an umbrella policy in addition to your standard landlord insurance. If you’re a landlord you should consider obtaining an umbrella policy to safeguard your financial stability.
What is an Umbrella Policy?
An umbrella policy is an insurance policy that provides additional liability coverage over and above your standard homeowner or landlord insurance policy. It is designed to protect you against major claims and lawsuits that could otherwise put a significant dent in your finances.
Why Landlords Need an Umbrella Policy
Protects Against Excessive Claims: While your landlord insurance policy provides coverage for most standard claims, it may not be enough to protect you against excessive claims and lawsuits. An umbrella policy will step in and provide additional coverage when the limits of your standard policy have been exhausted.
Covers Additional Risks: Umbrella policies provide coverage for additional risks that may not be covered by your standard policy, such as libel, slander, false arrest, and invasion of privacy.
Offers Peace of Mind: As a landlord, you are exposed to various risks every day. An umbrella policy offers peace of mind knowing that you have additional coverage in case of a worst-case scenario.
Affordable Coverage: Umbrella policies are typically much more affordable than you may think. The coverage is usually offered in increments of $1 million, and the cost is minimal compared to the amount of protection it provides.
An umbrella policy is a critical tool for landlords looking to protect their assets and financial stability. It provides additional coverage beyond your standard policy, covers additional risks, and offers peace of mind knowing you are protected against excessive claims and lawsuits. If you're a landlord, consider adding an umbrella policy to your insurance portfolio today.
