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What is not covered by an umbrella policy?

Umbrella insurance policies provide additional liability coverage beyond your primary insurance policies, such as auto or homeowners insurance. However, there are certain situations and types of claims that are typically not covered by an umbrella policy. Here are some common examples:

  1. Intentional Acts: Umbrella insurance won’t cover you if you intentionally cause harm to someone or damage their property.

  2. Business Activities: If you’re running a business and need liability coverage, you should have a separate business liability policy. Personal umbrella policies usually exclude business-related claims.

  3. Contractual Liability: Claims related to contracts or agreements that you’ve entered into may not be covered by your umbrella policy.

  4. Professional Liability: Claims against professionals, like doctors or lawyers, for errors or omissions in their professional services typically require a separate professional liability policy.

  5. Property Damage or Bodily Injury to You or Your Family: Umbrella insurance is designed to protect you from liability claims made by others, not for incidents involving your property or bodily injury to yourself or your family members.

  6. Claims Below the Underlying Policy Limit: Umbrella insurance kicks in when the liability limits of your primary policies (auto, homeowners, etc.) are exhausted. If a claim is within the limits of your underlying policy, the umbrella policy doesn’t come into play.

  7. Pollution: Environmental damage or pollution-related claims often require specialized environmental liability coverage.

  8. Criminal Activity: If you commit a crime and face legal consequences, an umbrella policy won’t provide coverage.

  9. War or Terrorism: Damage or liability arising from war, acts of terrorism, or similar events are typically excluded.

It’s important to carefully review your insurance policies and understand their limitations. If you have specific concerns or unique situations, consider discussing them with an insurance professional to ensure you have the right coverage in place.

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