PriceProtect™
DriveShield™
GarageGuard™
Services
Insurance
Car Insurance
Compare Car Insurance with Jerry
Jerry’s Expert Advice
Car Insurance Estimates
Home & Renters Insurance
Renters Insurance
Loans
Car Loan
Compare Car Loans with Jerry
Jerry's Expert Advice
Car Loan Guides
Repairs
Car Repair Estimates
Repair Estimates for Popular Services
Advice
Read Car Content
Browse Jerry Car Advice
Check Out Expert Car QnA
Learn About How We Create Content
Jerry Data & Research
How do I know if I need an umbrella policy?
"Should we wait to get an umbrella policy until we have more assets, or get it now since we both make close to a 6 figure salary? My State Farm agent advised me that my husband and I should think about getting an umbrella policy. We don't own any property yet, but we are saving for a house."
Shannon Martin · Updated on
Reviewed by Shannon Martin, Licensed Insurance Agent.
“You don’t need to have a lot of physical assets to purchase an umbrella policy. A big part of
liability coverage
is about protecting your future. The earning potential between you and your husband suggests that your retirement plans and 401k add up to a hefty sum and need to be protected.It would be wise to have your
State Farm
agent provide you with a quote on the lowest umbrella policy option, which is $1 million. It would give a million dollars of coverage above your current auto and renters policies. Once you purchase your home, the policy would transfer protection to your homeowner’s policy. Here are a few examples of when an umbrella policy would come in handy:
- Your pet bites someone and they sue you for medical payments and pain and suffering.
- You serve alcohol at a party at your home and someone gets in a car accident after they leave. They can sue you for the accident since the drinking took place on your property.
- Your child hurts another child by accident at the playground.
These are very common situations many people find themselves in. Having more protection is always a good idea.”
View full answer
- Gregory R.
WHY YOU CAN TRUST JERRY
Jerry partners with more than 50 insurance companies, but our content is independently researched, written, and fact-checked by our team of editors and agents. We aren’t paid for reviews or other content.
Join 4M+ members in lowering their car insurance
You Might Also Be Interested
Read Advice From Car Experts At Jerry
What Others Are Asking
Browse More Content
Insurance for Your Car
Insurance in Your State
Easiest way to compare and buy car insurance
No long forms
No spam or unwanted phone calls
Quotes from top insurance companies
