Excess liability or umbrella liability is carried over all other liability insurance and is used for a catastrophic loss, when primary liability insurance is exhausted or perhaps excluded by the primary liability policy. This adds extra coverage to your personal liability, automobile, and marine liability policies. Coverage is provided for you, your spouse and any relatives living in your household and insured by your primary policies. This policy also includes coverage if you are sued for false imprisonment, wrongful eviction, libel and slander, defamation of character, or invasion of privacy.
With America’s love affair with lawsuits, you can’t afford to not have umbrella liability insurance. Umbrella liability is very affordable, can be easily coordinated with your existing insurance policies and by no means is it just for the well-to-do. This policy is designed to cover catastrophic situations where a legal award could exceed the limits of your primary liability insurance. Umbrella coverage, if nothing else, offers psychological comfort. You’ll know that if your neighbor falls on your front steps or you rear-end the car in front of you that you’re protected.