What is Umbrella Insurance?
In the state of Oregon, there are several risks that individuals and businesses face every day. From car accidents to lawsuits, unexpected incidents can lead to financial losses that can be difficult to recover from. While standard insurance policies can provide coverage for these incidents, they may not be enough to fully protect you. That's where umbrella insurance comes in
What Does Umbrella Insurance Cover?
In Oregon, the state's minimum liability requirements for car insurance may not be enough to cover the damages in a serious accident. In fact, according to a report by the Oregon Department of Consumer and Business Services, the average cost of a bodily injury claim in 2019 was over $25,000. If you're found liable for an accident with damages that exceed your policy limit, you could be on the hook for the remaining amount. This is where umbrella insurance can step in to provide additional coverage beyond your primary policy limits.
Is Umbrella Insurance Legally Required in Oregon?
Lawsuits can also pose a significant financial threat to individuals and businesses in Oregon. Whether it's a slip and fall incident or a defamation lawsuit, legal claims can be expensive to defend against, and if you lose, the damages can be even more costly. According to the National Center for State Courts, the median award in Oregon civil cases in 2020 was $30,000. An umbrella policy can provide additional coverage for legal defense costs and judgments against you, giving you peace of mind and protection against a potentially devastating financial loss.
Benefits of Umbrella Insurance
Another benefit of umbrella insurance is that it can provide coverage for incidents that may not be covered under your primary policy. For example, if you own a rental property and a tenant sues you for damages not covered by your landlord policy, your umbrella policy could provide additional coverage. Similarly, if you're involved in a car accident while driving a rental car, your umbrella policy could provide coverage for damages not covered by the rental car company's insurance policy.
Why Umbrella Insurance is Important for Businesses in Oregon
Business owners in Oregon face a variety of risks that can threaten their financial stability. For example, a customer could be injured on your property or an employee could be injured on the job. Workers' compensation and general liability insurance policies can provide some coverage, but an umbrella policy can provide additional protection beyond these policies. Additionally, an umbrella policy can protect business owners against reputational harm, such as defamation claims, that may not be covered under other policies.
Purchase Umbrella Insurance Today
Umbrella insurance is an important investment for individuals and businesses in Oregon. With the state's high liability risks, costly legal claims, and unpredictable incidents, umbrella insurance can provide additional coverage and protection against potential financial losses. Whether you're looking to protect your personal assets or your business, an umbrella policy can give you the peace of mind you need to face the unexpected with confidence.