Don’t Wait Until You Get Caught in the Rain, Get Yourself an Umbrella!

Accidents happen – it is a natural part of life for us all. How well you are prepared can vary from person to person. Your liability coverage protects you if you are being sued for loss or damage, and standard liability policies typically range from $1,000,000 to $2,000,000. However, legal awards and expenses can escalate quickly, and what appears to be a minor incident can become a major lawsuit. If the claim exceeds your limit of liability, you will be responsible for paying the balance.

With the rising cost of living and the value of your hard-earned assets, you are not impervious to this risk exposure. Fortunately, there is a way to not only extend your liability limits but also receive additional coverages. Don’t wait until you get caught in the rain – get yourself an Umbrella! Find out more on what an Umbrella Policy is, who should purchase it, and how it works.

What is an Umbrella Policy?

A Personal Umbrella policy increases the third-party liability limits of your existing home and automobile insurance policies. It works to protect against events that could have a substantial impact on your future earnings and assets. It will pay the court-awarded amount, up to the limit of coverage purchased, as well as your legal costs.

But wait, there’s more!

Personal Umbrella Insurance increases not only the limit but also the coverages! This kind of policy can also provide coverage for libel or slander, defamation of character, wrongful eviction, false arrest, invasion of your right to privacy, etc.

Who Needs This?

Suppose you are a volunteer director on a condominium board or homeowner’s association, a volunteer member for a non-profit organization, or own rental properties. In that case, you are certainly exposed to the above-noted risks, and those added coverages are not found on other personal policies.

Do you still think it doesn’t impact you?

If you have a household income in excess of $200,000, have an occupation with increased public exposure, own a luxury vehicle or property, or travel outside of Canada frequently – your risk for lawsuit increases.

Do you think you’re an average Joe or Jane, so it doesn’t apply?

Well, if you like to entertain, have a pool or a dog, own a home, vehicle, or boat, coach a kids’ sports team or participate in sports yourself, or maybe even have firearms – you are at risk!

How Does it Work?

Your Umbrella policy comes into effect after your standard liability coverage gas runs out, which means you don’t have to dip into your savings or risk garnished wages or filing for bankruptcy!

The average limits for Personal Umbrella Insurance range from $1,000,000 to $5,000,000, but limits as high as $10,000,000 are available.

Some carriers can offer this coverage in conjunction with your home (including tenant) policy, but separate policies are available. And although the annual premiums are determined by the limits chosen and the extent of the underlying coverage, it works out to a dollar a day or less. It will offer you and your family the peace of mind needed to enjoy the things you love. Call your Lawrie Insurance Group Broker today to learn more about what Personal Umbrella Liability Policy suits you!


Written by: Laura Ferri with special acknowledgments to Barbara Pettinger

*The content on this page is for information purposes only, provided as a courtesy to our Lawrie Insurance Group customers. The insights and insurance products described herein are subject to terms, conditions, restrictions, and exclusions, and should not be taken as a replacement for current information provided by governing authorities. Please contact your Personal Broker for any questions specific to your policy and needs.

Find which Personal Umbrella Liability policy suits you!

Contact us and ask a LIG Customer Service Representative today.