Umbrella Insurance Provider Recommendations

Non-investing personal finance issues including insurance, credit, real estate, taxes, employment and legal issues such as trusts and wills
Post Reply
intothegreatunknown
Posts: 16
Joined: Tue Dec 09, 2014 1:02 am
Location: California

Umbrella Insurance Provider Recommendations

Post by intothegreatunknown » Tue Nov 14, 2017 12:05 am

What umbrella insurance providers do people here recommend? Are there any things in particular I should be looking for when selecting one?

Potentially relevant details:
  • Live in California
  • Don't have a car or car insurance
  • Rent an apartment, don't have renter's insurance (but I should...)
  • Don't currently have any type of insurance besides medical

User avatar
eye.surgeon
Posts: 69
Joined: Wed Apr 05, 2017 1:19 pm
Location: California

Re: Umbrella Insurance Provider Recommendations

Post by eye.surgeon » Tue Nov 14, 2017 12:25 am

Geico.

But do you even need an umbrella policy? Without a car or a home, and presumably without a high net worth, you probably don't.
"I would rather be certain of a good return than hopeful of a great one" | Warren Buffett

intothegreatunknown
Posts: 16
Joined: Tue Dec 09, 2014 1:02 am
Location: California

Re: Umbrella Insurance Provider Recommendations

Post by intothegreatunknown » Tue Nov 14, 2017 12:54 am

What's a reasonable net worth to consider having an umbrella policy?

I currently have about half a million in stocks and bonds. Next year, there's a good chance I'll have another half million or so (post-tax) from the company I'm working for having their IPO.
Last edited by intothegreatunknown on Tue Nov 14, 2017 1:09 am, edited 1 time in total.

nalor511
Posts: 149
Joined: Mon Jul 27, 2015 1:00 am

Re: Umbrella Insurance Provider Recommendations

Post by nalor511 » Tue Nov 14, 2017 12:56 am

Statefarm had the lowest rate for a renters policy with 1mm/2mm liability limits. Can't get standalone umbrella at a good price. If you want 2mm you have to call them.

GibsonL6s
Posts: 42
Joined: Tue Aug 29, 2017 12:17 pm

Re: Umbrella Insurance Provider Recommendations

Post by GibsonL6s » Tue Nov 14, 2017 1:42 am

Umbrella policies are on top of home and car policies. If you don’t have a car start with a renters and ask if the liability coverage extends to your acts outside of the home many do. You can probably get up to 300k liability coverage. If you need more ask about an umbrella. Also I am not a lawyer but assets in retirement Accounts may have some protection from creditors. Good luck

aaronl
Posts: 314
Joined: Thu Apr 03, 2008 8:54 pm

Re: Umbrella Insurance Provider Recommendations

Post by aaronl » Tue Nov 14, 2017 2:49 am

My situation is very similar and I was recently considering whether I should buy umbrella insurance. I also do not own a car, but I have a very inexpensive "named non-owner" auto policy through AAA for situations when I rent cars or drive others' cars (it's a little-known fact that car rentals in California generally don't include any liability insurance in the base rate). I believe AAA would require me to have home insurance as well before selling me an umbrella policy, but I think a renter's policy would be a waste for me - I don't have any possessions I want to insure, and as an apartment-dweller I don't think there's a very significant chance of liability arising from my home situation. I don't have a swimming pool for kids to fall into, or a dog that could bite someone, or frequent guests who could somehow find a way to injure themselves inside my apartment. My conclusion so far is that the umbrella policy probably doesn't make sense either, since I have relatively little to worry about from either the auto or home side, and those tend to be the main sources of liability. I can certainly imagine situations where an umbrella policy would be worth having, but I'm not sure it's worth getting a renter's policy to make it happen. It effectively doubles the premium I would be paying.

Daryl
Posts: 352
Joined: Thu May 22, 2008 9:34 am
Location: Malvern, PA (I like to sleep near my money!)

Re: Umbrella Insurance Provider Recommendations

Post by Daryl » Tue Nov 14, 2017 6:46 am

Another renter checking in, though I do own a car. Honestly, the premiums associated with a renter's policy + umbrella are minimal compared to my net worth. I serve on a non-profit board and my personal policies provide some coverage above/beyond what the non-profit carries to protect itself.

Post Reply