ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -An umbrella policy gives you additional liability coverage. This can help cover the cost of injury to others or damage to their property. It does not cover damage to your own home, car or possessions.

Detailed explanation-2: -A personal umbrella policy is called an “umbrella” policy because it provides liability coverage over and above your standard auto insurance or homeowners insurance. It offers protection for you and family in your household against large and potentially devastating liability claims or judgments.

Detailed explanation-3: -Umbrella insurance provides additional liability coverage-over and above the limits on your auto and other personal liability policies. This extra protection is available in $1 million increments up to $10 million.

Detailed explanation-4: -Umbrella insurance is a type of personal liability insurance that covers claims in excess of regular homeowners, auto, or watercraft policy coverage. Umbrella insurance covers not just the policyholder, but also other members of their family or household.