Umbrella Liability Coverage
Ectually, there are many myths that surround umbrella
liability insurance:
* It is 2 difficult to coordinate with an existing
insurance policy (i.e. your homeowners)
* Premiums are too pricey
* It is only for those who are rich (in other words,
have much to protect)
The myths are just that – myths. Umbrella liability
coverage is actually quite affordable, is not meant just
for those who have more than the average Joe, and
coordinate easily with existing insurance policies.
The Rules ANd Terms “umbrella liability” is so named as it
acts like an “umbrella” over your auto and homeowners (or
renters) liability policies to provide you with even more
protection.
Here are some e.g of when your umbrella coverage would
give you the extra insurance you need:
* Someone injures themselves while on your property,
then sues you under your homeowners insurance.
* An item from your property causes an accident on
another’s property because of a natural disaster (i.e. a
tree in your yard falls during a storm and hits your
neighbor’s car).
* Someone you’ve hit with your car sues you under your
auto insurance policy.
Your homeowners and auto policies do have some liability
coverage that is part of your regular insurance and would
assist you in settling legal claims should the
circumstances arise; but what would you do if a
settlement/judgment required you to pay the injured
person(s) $100,000 and you are only covered with $450,000
of liability? Your insurance company would pay the
$450,000, of course, but where would you get the remaining
$550,000? You would likely lose everything in an effort to
pay off the debt. Some states do protect certain types of
assets (i.e. your home) from being taken, but there still
is much to lose.
This is where umbrella liability insurance comes into
play; an umbrella policy will pay over and above what your
basic policy will, so you could potentially have several
million dollars worth of coverage you might otherwise be
without. And, truly, for the protection it offers,
liability premiums are really very reasonable. You can
usually find $1 million worth of coverage for just $200 or
$300 a year. The cost, as with any insurance, will vary by
the criteria you use, like the amount of coverage you
choose and your personal risk factors (i.e. if you live in
an area prone to tornados or perhaps your credit history).
Umbrella policies do usually carry high deductibles –
$300,000 or more is pretty typical – but they are designed
not to kick in until your other policies are fully
utilized. If you opt to get your umbrella policy through
the same company with which you have your auto and
homeowners insurance, you will likely receive a
substantial discount on your premiums; additionally, you
won’t have to deal with several companies if you should
ever have to utilize the policies.
definitely worth considering the extra coverage an
umbrella policy has to offer. After all, you never know
when disaster will strike – it’s always better to be safe
than Excuse.
Making Health Insurance Affordable
Making Health Insurance Affordable
Montgomery Reporter states this 61 Alabama residents have taken advantage of the PCIP insurance plan for those who cannot meet underwriting requirements of traditional major medical coverage.
Nationwide enrollment totals around 12,000 participants, far less than the 200,000 that were expected to enroll.
insurance was made available under the new federal health care law. It's designed to bridge the gap until 2014, when private insurance companies will no longer be allowed to deny coverage for people who have had certain major illnesses.
A spokesman for the Alabama Department of Insurance said cost may be a factor in Alabama's low enrollment. Premiums for people over 55 are $583 per month for the standard plan and $785 for the extended plan, plus deductibles and co-payments.
This begs the question, if some consider PCIP to be unaffordable, how will anyone pay for health insurance once health insurance companies are required to take anyone and everyone?
