In the event that you are sued for an injury that occurred involving your home or auto, you need a good umbrella insurance policy to cover the expenses not covered by your auto and homeowners coverage. Buying an umbrella policy is not overly complicated, but there are some important things to remember. Here are some considerations for you to make.

Libel and Slander Coverage

One modern-day incident that you should factor into your umbrella insurance policy is libel and slander. If you are sued for damages that occurred because of something you said or published, you need coverage that can help pay. 

If you have children, there is one more consideration you should make that many people overlook: cyberbulling. If your child is accused of cyberbulling and the parents of the other child sue and win, you could be without a safety net to help cover the damages. If you have children, look for an umbrella policy that covers this occurrence. 

Coverage for Punitive Damage

If you live in a state that allows rewards of punitive damages in a personal injury case, you need to ensure that your umbrella policy offers coverage in the event that a jury awards a plaintiff this type of damages against you. Punitive damage awards can be large. Sometimes more than the amount awarded for actual damages. 

Most umbrella policies cover punitive damages, but you need to be sure yours does. If not, it is important that you find one that does. If you lose a case and have to pay the punitive damages awarded, you could be put in a financially difficult position.

Rental Car Coverage

Most insurance policies do carry over to vehicles that you rent, but might only provide a certain amount of coverage. Your rental agreement might have a clause in it that states regardless of who caused the accident in which you were involved, you are responsible for the damage. 

To protect yourself, the umbrella policy you select needs to also carry over to your rental vehicle. This includes everything from damage from an accident to windstorm damage. If you travel outside of the country with the rental car, ensure your policy covers it in another country.

Umbrella insurance policies can be a lifesaver when you are facing thousands of dollars worth of damages from an incident in your home or car. If you are unsure that an umbrella policy is for you, talk to an insurance agency, such as Trent Insurance Group Inc. Agents can assess your situation and help you determine the right coverage for you.