Standard insurance, like a policy for a motorcycle, has a maximum liability coverage limit. If your net worth exceeds this limit, you should consider purchasing an umbrella policy, also commonly known as excess liability coverage. This type of coverage helps protect your assets in the event you are found liable for an accident with catastrophic financial consequences. Motorbike accidents are common, so carrying umbrella insurance from Texas Classic Insurance may be a good idea if you want to safeguard your funds and possessions.
What Is the Purpose of an Umbrella Policy?
Motorcycle accidents in Granbury, TX often go hand in hand with mounting medical bills and legal fees. In some instances, a standard motorcycle policy won’t cover all of these expenses. If you have an umbrella policy, it can pick up where your coverage ends. In fact, the only time you should use an umbrella policy is after your standard insurance’s liability limits have been exhausted.
What Type of Umbrella Policy Should You Buy?
The type of umbrella policy to buy depends on your unique needs. For starters, you need to make sure the umbrella policy kicks in once your standard policy exceeds its limits. For most umbrella policies, this means a minimum of $250,000 in standard motorcycle coverage must be reached. If your standard policy has a limit of only $150,000, then you’ll have $100,000 worth of out-of-pocket expenses to cover before the umbrella coverage kicks in.
Also, you must keep in mind that all umbrella insurance policies work to protect you and your assets. However, only some of these policies apply in certain situations. Consider a situation in which a hit-and-run driver causes you harm while you are riding your motorcycle and you are unable to obtain the at-fault party’s insurance information. In this situation, your standard motorcycle insurance will provide coverage up to its limits. However, umbrella coverage will only kick in if your standard policy includes uninsured and underinsured motorist coverage.
Invest in Excess Liability Coverage Now!
Getting in touch with an independent agent at Texas Classic Insurance is the easiest way to compare coverage, choices, and costs for umbrella insurance in Granbury, TX. One of our agents can shop around for the best prices and help you create a policy that is tailor-made to your specific requirements and budget.