What is a personal umbrella policy?
A personal umbrella is extra liability insurance that sits on top of your auto, homeowners, renters and other policies. When a lawsuit or judgment is larger than the liability limit on the underlying policy, the umbrella pays the excess, up to its own limit. Umbrellas are usually sold in million-dollar layers and can also cover some claims the underlying policies leave out.
Why California drivers look at umbrellas
The legal minimums are low compared with what a serious crash can cost. The California DMV lists the minimum liability insurance requirements under Insurance Code §11580.1b as $30,000 for injury or death to one person, $60,000 for injury or death to more than one person, and $15,000 for property damage. Source: California DMV, Insurance Requirements. A multi-car freeway crash, a teen driver’s first accident, or a guest badly hurt at a pool party can produce claims well past an auto or home policy’s limit. Without an umbrella, the gap can reach your savings, home equity and future wages.
What a personal umbrella covers
- Excess auto liability — above the limits on every listed car, truck and motorcycle.
- Excess home liability — injuries at your house, dog bites, a pool or trampoline accident.
- Rental property liability — when the landlord policy on a rental you own is listed underneath.
- Watercraft and recreational vehicles — boats, jet skis and ATVs that carry their own underlying policy.
- Personal injury claims — on many forms, libel, slander, false arrest and invasion of privacy.
- Defense costs — legal defense for covered claims, often in addition to the limit.
What an umbrella does not cover
Your own injuries or your own property, business and professional activities (those need commercial coverage), intentional acts, and anything the policy specifically excludes. Most umbrellas also require you to keep minimum liability limits on each underlying policy. If an underlying limit drops below that requirement, you pay the gap. We check every underlying policy for that before binding.
Who should consider one?
Homeowners with equity, households with teen drivers, landlords, pool and trampoline owners, dog owners, anyone with a boat or ATV, and anyone whose income or savings would be exposed in a lawsuit. If you coach, volunteer on a board, or post reviews online, ask about personal injury and volunteer coverage on the form.
How much does a personal umbrella cost?
An umbrella is usually priced low relative to the amount of liability it adds, because it pays only after the underlying policies are used up. The price rises with the umbrella limit, the number of vehicles and drivers (teen drivers especially), the number of homes and rental properties, pools, trampolines and dogs, and any boats or recreational vehicles. The underlying auto and home limits the umbrella requires are part of the total cost, so we quote both together.
What we need to quote an umbrella
- Declarations pages for your current auto, home or renters, and any rental, boat or recreational vehicle policies.
- Every licensed driver in the household, including teens, and their driving records.
- All properties you own, with any pool, trampoline or dog.
- The umbrella limit you are considering.
Insurance City is an independent brokerage in Stockton, so we can review the underlying auto and homeowners limits and the umbrella together. Call (209) 670-1556 or request a quote below.
Adding a teen driver or buying a rental? Those are the moments to check your liability limits. Send your current declarations pages and a licensed agent will line up the umbrella with them.
Ready for a quote? Call, walk in, or send the form
Call (209) 670-1556 Request a Quote
956 W Robinhood Dr, Stockton · Mon–Fri 10am–6pm · Walk-ins welcome · Se habla español · ITIN accepted. Insurance City Agency, LLC · CA License #6003045. Reviewed by Santo Militello, California-licensed agent and owner (CA Lic. #1737723). Our licensed team brings more than 70 years of combined insurance experience.
