Umbrella Insurance for Colorado Homeowners
Your auto and home policies have liability limits. If a serious claim goes past those limits, the rest could fall to you. An umbrella policy can add another layer of liability coverage on top of those policies.
Kamber Insurance Agency is based in Longmont. We help homeowners across Colorado understand this coverage in plain English. You have a lot going on. We try to make this part simple.
What umbrella coverage is
Umbrella insurance is extra personal liability coverage. It does not replace your auto, home or renters insurance. It sits above them. If a covered claim uses up the liability limit on one of those policies, the umbrella policy may help with the amount that remains, up to its own limit.
An umbrella policy may also help with some claims a standard auto or home policy does not cover, such as libel or slander. That depends on the policy. It is worth reading the exclusions, or asking us to walk through them with you.
How it works with your auto and home coverage
An umbrella policy is designed to apply after the liability coverage on your underlying policies is used up. Those underlying policies are usually your auto policy and your home or renters policy.
Insurers usually require you to carry certain liability limits on those policies first. If your current limits are below what the insurer requires, they may need to be raised before an umbrella policy can be issued. If you have a boat or certain other recreational vehicles, liability coverage on those may also be required first. Requirements vary by insurer, and eligibility varies.
Who often takes a closer look
You do not have to wait for a problem to review your liability limits. People often take a closer look when a claim could be large, or when they have assets or future earnings they want to protect. That can include households with:
- a teen driver
- a pool or trampoline
- a dog
- a rental property
- a boat
- a higher net worth, or income that could be affected if a claim goes past current limits
Some people also ask about this if they volunteer or serve on a board. A personal umbrella may not cover those activities. Coverage depends on the policy, so ask before you assume it applies.
What an umbrella policy usually does not cover
An umbrella policy is for claims other people may make against you. It typically does not pay for:
- damage to your own home or car
- your own injuries
- business activities, which may need a separate business policy
- intentional or criminal acts
- liability you take on in a contract
Some policies also do not cover punitive damages. Exclusions vary. Check your policy, or ask us to review it with you.
Why this comes up for Colorado homeowners
Colorado life can involve busy roads, outdoor recreation and guests at your home. A serious auto accident, a boating incident or a guest who is hurt at your house could lead to a claim that goes past the liability limits on your auto or home policy. We can help you review what you have now and whether extra liability coverage may be a fit.
For a longer look at how families think through these risks, read our guide on umbrella insurance in Colorado.
Coverage you have vs. coverage that may be available
We keep these separate. First, we look at the liability limits on your current auto, home or renters policies, and at any umbrella coverage you already have. Then we talk about options that may be available, including whether an umbrella policy may fit and whether your underlying limits would need to change. Availability and eligibility vary. You decide what makes sense for your household and budget.
Based in Longmont, serving Colorado
Our office is at 255 Weaver Park Rd, Suite 206, in Longmont. We work with homeowners across Colorado. You can speak with us by phone or meet at our Longmont office. You do not need to live near Longmont to work with us.
Other coverage that works with an umbrella policy
Umbrella insurance FAQs
What is umbrella insurance? It is extra personal liability coverage that sits above your auto, home or renters policy. It may help if a covered claim goes past the liability limit on one of those policies.
Does an umbrella policy replace my auto or home insurance? No. You still need the underlying policies. An umbrella policy is designed to apply after those liability limits are used up.
Do I need certain coverage limits first? Usually, yes. Insurers typically require set liability limits on your auto and home, or renters, policies before they will issue an umbrella policy. If you have a boat, that may need its own liability coverage too. Requirements vary.
Who should consider an umbrella policy? Anyone can ask for a review. People often look at it if they have a teen driver, a pool or trampoline, a dog, a rental property, a boat, or assets and future earnings they want to protect if a claim is larger than their current limits.
What does umbrella insurance usually not cover? It typically does not pay for damage to your own property, your own injuries, business activities, intentional acts or liability you take on in a contract. Check your policy for the full list of exclusions.
Do I have to live in Longmont to work with you? No. Our office is in Longmont, and we help homeowners across Colorado.
Let's look at your liability coverage together
Send us your declarations pages or give us a call. We will go over the liability limits you have now, point out anything worth a second look and explain options that may be available. Our hours are Monday to Friday, 8 to 5.