What Is Umbrella Insurance and Who Really Needs It?
Umbrella insurance is extra liability coverage that goes above and beyond your home, auto, or other primary insurance policies.
It doesn’t protect your house or car — instead, it protects your wallet if you’re found legally responsible for injuries, property damage, or lawsuits that cost more than your regular policy covers.
How Does It Work?
Think of your home or auto insurance as your first line of defense. If you’re in an accident and someone sues you, your primary policy pays up to its limit. If the costs go higher, your umbrella policy kicks in to cover the extra — usually in increments of $1 million or more.
Real-Life Example:
You cause a serious car accident and injure multiple people.
Your auto policy covers $300,000 of bodily injury.
The total medical bills and lawsuit settlement are $800,000.
Without an umbrella policy, you’d owe the remaining $500,000 out of pocket.
With umbrella insurance, your policy pays the difference — protecting your savings, retirement, and even future wages from garnishment.
What Does Umbrella Insurance Cover?
A typical personal umbrella policy can cover:
Injuries to others in an accident
Property damage to someone else’s belongings
Legal fees and defense costs
Libel and slander lawsuits
Some landlord liability if you own rental properties
It doesn’t cover your own injuries or property damage, business losses, or intentional acts.
Who Really Needs Umbrella Insurance?
Anyone can be sued — but you should especially consider an umbrella policy if you:
✅ Own a home, rental property, or vacation home
✅ Have significant savings or investments to protect
✅ Have teenage drivers on your auto policy
✅ Host guests frequently at your home (pools, trampolines, dogs)
✅ Volunteer on boards or coach youth sports
✅ Own recreational vehicles like boats, ATVs, or jet skis
✅ Want peace of mind for lawsuits that go beyond basic coverage
For many families, just having a teen driver or a swimming pool can make an umbrella policy a smart idea.
How Much Does Umbrella Insurance Cost?
Surprisingly, an umbrella policy is very affordable for the amount of protection it provides. For about $150–$400 per year, you can usually get $1 million in coverage — with additional millions available for a small cost.
That’s cheaper than most people expect, especially compared to how much you stand to lose if you’re sued.
Tips to Get the Right Coverage
Umbrella insurance requires certain minimum liability limits on your home and auto policies — usually around $250,000 for auto and $300,000 for home.
It’s important to keep those base policies active, or your umbrella won’t work.
Work with an independent agent to compare options and find the best value.
How Hixson & Malinowski Insurance Can Help
At Hixson & Malinowski Insurance, we help Ohio families protect what they’ve built — and that includes affordable extra liability coverage. We’ll:
Review your current home and auto limits
Explain where your biggest risks are
Recommend the right umbrella amount for your situation
Shop multiple carriers to find the best rate
It’s simple peace of mind that can protect your savings, your family, and your future.
A single accident or lawsuit can change everything — but umbrella insurance can keep a bad day from becoming a financial disaster. Want to see if extra coverage makes sense for you? Contact Hixson & Malinowski Insurance today. We’ll help you get the protection you need at a price you can feel good about.
