The more you have acquired, the higher your risk for litigious encounters. Your financial security could become severely compromised due to accidental events you have thought were adequately covered. Having ample coverage for yourself, and your assets, is critical. A personal excess policy supplements the basic liability coverage provided under personal insurance policies, such as automobile, homeowners and watercraft coverage.
The liability limit within many homeowner policies is $300,000. If someone is injured on your property and awarded damages above that limit, you are personally responsible for the remaining balance, including legal fees. Excess Liability Insurance is a critical, but often overlooked, component of your personal risk management portfolio.
Accidents can stem from everyday activities and lead to costly lawsuits. For example:
- A young guest at your home dives into the shallow end of your pool and suffers devastating paralysis. You are sued for $3,000,000.
- On a rainy night, you slide into the oncoming lane and strike another vehicle. Passengers in the vehicle you hit suffer serious injuries including quadriplegia and death. You are sued for $10,000,000.
Coverage is sold in million dollar increments up to $5,000,000 and typically thereafter in $5,000,000 increments. This line of personal property-casualty cover has the lowest ratio of premium to maximum claim payout of any personal insurance lines, making it a very worthwhile investment.
Your risk just might be greater than you think. Do you:
- Own a home?
- Drive a car?
- Have a dog?
- Have children who drive or are away at school?
- Employ domestic staff such as housekeeper or nanny?
- Frequently entertain guests at your home?
- Blog, tweet, or post comments or photos online?
- Own a swimming pool?
- Serve on a not-for-profit associations' board?
If you answer "yes" to any of these questions, there is a good possibility your assets are not adequately protected. In a matter of seconds an unfortunate scenario sets the stage for costly long term litigation and medical bills. Secure Excess Liability insurance through MSG and protect your personal assets before it is too late.