umbrella policy
Liability coverage extension
An umbrella policy is insurance coverage that extends beyond the limits of standard policies like auto or homeowners insurance.
It kicks in when underlying coverage is exhausted, providing additional liability protection: Their umbrella policy covered the lawsuit after the car insurance maxed out.
The metaphor suggests broad coverage sheltering against various risks.
Failure to exercise care
- tortsCompensable civil wrongs
- civil litigationNon-criminal court proceedings
- legal defenseArgument against charges
- damagesCompensation for injury
personal injury · lawsuits · defamation · libel · slander · judgments · settlements · financial responsibility
Insurers insuring themselves
- indemnityProtection against financial loss
- underwritingRisk evaluation and acceptance
- premiumsPayments for insurance coverage
- deductibleOut-of-pocket threshold amount
exclusions · endorsement · insurer · insured · broker · actuary · adjuster · claims
Precaution against harm
- safety netProtection against failure
- shieldHandheld defensive armor
- bufferProtective intermediate space
- asset protectionSecuring owned resources legally
risk management · contingency · peace of mind · financial security
Maximum insurer payout amounts
- personal liabilityOne's own legal responsibility
- property damageHarm to possessions
- bodily injuryPhysical harm suffered
- claims-madePolicy triggered by filing date
coverage gap · extended coverage · blanket coverage · worldwide coverage
negligence
Failure to exercise care
- tortsCompensable civil wrongs
- civil litigationNon-criminal court proceedings
- legal defenseArgument against charges
damages · personal injury · lawsuits · defamation · libel · slander · judgments · settlements · financial responsibility · professional liability
reinsurance
Insurers insuring themselves
- indemnityProtection against financial loss
- underwritingRisk evaluation and acceptance
- premiumsPayments for insurance coverage
deductible · exclusions · endorsement · insurer · insured · broker · actuary · adjuster · claims · peril
safeguard
Precaution against harm
- safety netProtection against failure
- shieldHandheld defensive armor
- bufferProtective intermediate space
asset protection · risk management · contingency · peace of mind · financial security
liability limits
Maximum insurer payout amounts
- personal liabilityOne's own legal responsibility
- property damageHarm to possessions
- bodily injuryPhysical harm suffered
claims-made · coverage gap · extended coverage · blanket coverage · worldwide coverage
- insuranceinsurance, coverage, auto insurance, life insurance, home insurance
- financial safetyemergency fund, savings, safety net, insurance, nest egg
- insurance termspremiums, full coverage, monthly premium, deductibles, payout
- protection planswarranty, extended warranty, insurance, life insurance, health insurance
- asset protectiontrust, LLC, insurance, prenup, irrevocable trust
- liability insuranceliability insurance, liability coverage, general liability, personal liability, professional liability