Should I have a personal umbrella insurance policy?

An umbrella policy or personal catastrophe policy protects you and your assets against large liability claims. It protects you if your regular (underlying) liability limits on your auto and home policy are not sufficient to cover an individual loss.

Personal Umbrella policies are written for amounts between $1 million and $10 million.

What does it cost?

Umbrella rates depend on how many vehicles, homes, recreational vehicles and other specific risks that you need to cover. A policy that covers a home and 2 vehicles will cost around $150.

New Discounts Make Umbrellas a “No-Brainer”

Both Travelers and Safeco now offer extended multi-policy discounts for writing an umbrella policy. You can save 5% with Travelers on your home and auto and Safeco now offers a 10% discount on your auto.

With the savings including an umbrella now would cost you less than $5/month in most cases and on some accounts may actually save your money!!!

What limits?

You need to consider among other things:

  • Net worth – including real estate equity- assets such as vehicles, boats and toys- savings and retirement accounts etc.
  • Future Earnings- Your future earnings need to be considered. If you were to have a judgement for liability over your policy limits your wages could be garnished.

Speaking with an insurance professional is advised. We have a 5-minute insurance review that can help you to decide the proper liability limits you should be carrying.

Underlying Limit Requirement

With an umbrella you are required to carry a minimum underlying liability limit on your home, auto, motorcycles and recreational vehicles. For the best rates you need to carry $500,000 of underlying liability.

If you would like to complete a free 5-minute insurance review give us a call 661-327-5531, email us at or if you are in Bakersfield stop by for an old-fashioned office visit at 111 “H” Street.


2 Responses to “Should I have a personal umbrella insurance policy?”

  1. Paul Chavez says:

    Wow 10% discount of my Safeco Auto policy! Sounds great!

  2. ryan says:

    It is great! Considering a large number of our customers can get $1 million of protection for their families for only a few dollars per month. AND sometimes even save money!

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