Umbrella Insurance Rates
Umbrella insurance rates depend on many different factors. In general, people who buy umbrella insurance pay premiums of $200 to $300 a year, and deductibles of $300,000 or more for coverage exceeding $1 million. But these numbers can vary widely. Let's look at some of the factors that go into deciding umbrella insurance rates:
- Your risk: If you have a risky lifestyle or company, then your umbrella insurance rates will be higher than average. In the context of umbrella insurance, risk is defined as anything that raises your chance of being sued. Owning a sports arena or bar qualifies as a high-risk activity.
- Your location: Umbrella insurance rates vary across states and cities.
- The amount of coverage you need: People who need $1 million in umbrella insurance pay lower rates than those who need $9 million.
- The amount of coverage you already have: If you already have home and auto insurance liability policies, your rates will be different from someone who wants to use umbrella insurance as a replacement for traditional insurance policies.
- The insurance company: All other variables aside, umbrella insurance rates will be different at each company you consider. Make sure to do your homework and shop around to find the best umbrella insurance rates for your needs. Get quotes from several different companies before signing a contract.
