AARP Financial

Insurance

Special Policies

Umbrella Liability Insurance

Even if you have insurance that covers your home, auto, and other property, you may still want or need an umbrella policy. This policy works the way it's named; it spans over all your other property-related policies, providing excess coverage once coverage under one of those policies runs out. Because it's possible to suffer huge financial losses in liability lawsuits and other related situations, more and more people are taking advantage of umbrella policies.

Umbrella policies offer two valuable benefits:

  • They tend to cover a wider range of insurable situations (called "perils") than primary insurance policies, and
  • They provide additional coverage once your primary policy's coverage runs out.

The more property and money you have to protect, the more likely that an umbrella policy is right for you. In any case, however, it's wise to speak to an insurance specialist to see whether umbrella insurance is right for you.

Floater Policies

Floater policies cover personal property even if it's moved from its main location. So if you own something particularly valuable that you take with you on occasion, you might consider a floater policy. There are two types: scheduled policies name the actual items; unscheduled policies cover certain types of items, or possibly all your moveable items.



These articles are not meant to be a financial plan. A financial plan generally addresses a wide spectrum of financial needs including insurance, savings, investments, tax and estate planning.