You might clip coupons to lower the price of your groceries, or save money on your electric bill by turning off the lights. To conserve water, you may have purchased a low flow shower head. Because you understand the value of a dollar, it’s only natural that you look for discounts on umbrella insurance.
The deals are out there; finding them can be the tough part. The good news is that you can have someone conduct the research and find the best deals for you. A local independent agent in the Trusted Choice® network can help. These agents have access to multiple insurance companies and a wide range of insurance plans and prices. Contact a member agent for help finding umbrella insurance deals and discounts that meet your needs.
What Does Umbrella Insurance Cover?
Purchasing an umbrella policy extends your liability coverage on insurance policies like:
- Auto Insurance
- Home Insurance
- Boaters insurance
- Renters Insurance
Is Umbrella Liability Insurance Affordable?
Just as you can find discounts for your standard insurance policies, you can find deals on your umbrella insurance coverage as well. As you start searching for the best rates on umbrella policies, you probably already have an idea of the amount of coverage you need, based on the assets you need to protect. Umbrella liability discounts may be available no matter if you need a small or large umbrella policy.
The average umbrella insurance policy will run anywhere from $200 to $300 per year for each million dollars in coverage you want. While the cost of umbrella insurance is very affordable given the valuable protection it provides, there are ways that you can bring that number down.
Do I Qualify for Personal Umbrella Insurance Discounts?
If you’re looking for umbrella insurance discounts, the first place you should look is the mirror. Personal factors can contribute to a lower umbrella premium.
- Age Discount: If you are 50+, you may be eligible for a discount – typically a percentage of your premium.
- Safe Driving Record: If you’ve managed to avoid accidents on the road or speeding tickets, the insurance company places you in a low risk group, which can potentially save you money on premiums across the board, not only on your auto insurance policy but also optional umbrella insurance.
- Claims-Free: If you have a clean insurance record overall, both on your home and auto insurance policies, you may qualify for umbrella insurance discounts because you are less risky to insure.
- Good Credit: People who pay all their credit card bills on time and do not run up large debts are considered less risky than those with a poor credit score from missed payments or too much debt.
Safe driving, taking few risks, and maintaining a safe home can all make a difference in your umbrella insurance costs. There may be additional steps you can take to help bring your premium costs down, so be sure to consult your agent, review your coverage and ask about ways to lower your premiums. If you are looking for an agent who can meet all of your insurance needs and compare prices and available discounts from multiple insurance companies, contact a local agent in the Trusted Choice network.
Do I Qualify for Multi-Policy Discounts?
It’s a good idea to consolidate all of your policies with one insurance company if you can. Combining your policies under one insurer provides a number of benefits:
- You will find it easier to avoid gaps in coverage.
- You can make sure you are not buying more insurance than you need, a costly mistake that many policyholders make when they are not working with an agent who can advise them on what they truly need.
- You may qualify for a multi-policy discount. Many insurance companies offer up to a 20% discount on a combined premium if you buy multiple policies from them, such as your home and auto coverage. If you’re in the market for umbrella insurance, look for an insurance company that offers multi-policy and umbrella insurance discounts.
Do I Qualify for Membership Discounts?
Some insurance companies may offer an umbrella liability discount if you are a member of a specific group, association or alumni organization. These groups can include credit unions, professional organizations and military veteran groups as well, so it is definitely worth asking for a review of all available discounts.
Insurance companies often partner with other groups, and each works to sponsor and promote the other. The insurance company may offer a specific discount exclusive to members of participating organizations. If you’re a member of a group, club, credit union or professional organization, you may want to do some research to find out about various kinds of umbrella insurance discounts.
Contact an independent insurance agent to determine if you can lower your insurance premiums.
Umbrella Insurance Cost vs. Coverage
While saving money is a priority, it is important to balance cost cutting with quality coverage you will need at the time of a claim. Let’s look at an example liability scenario for illustration:
- Net worth of $2 million
- $500,000 home liability coverage
- $500,000 auto liability coverage
- 1 million umbrella insurance coverage with a $500,000 deductible
- The policyholder causes a car accident that results in a fatality
- The accident victim's family sues for $3 million
- The auto liability coverage pays $500,000 of the suit
- The umbrella policy kicks in and covers an additional $500,000 after the policyholder pays the deductible
- The policyholder is responsible for the remaining $2 million, which can result in loss of the family home, savings, investments and future income
Unfortunately, in our litigious society, liability claims can result in big lawsuits with very large settlements or judgments. Be sure to talk with a knowledgeable agent about real life scenarios and how to get the insurance in place to protect your assets.
Finding an Affordable Policy
Finding the best discounts can feel like looking for a needle in a haystack. With the assistance of an independent agent in the Trusted Choice network, you can have an experienced professional on your side whose goal is to advocate for you and answer all of your questions.
Contact a local member agent today who can compare umbrella insurance policies from multiple insurance companies for you, help you find discounts and umbrella insurance deals, and choose an affordable policy that meets your needs.