A State Farm umbrella policy covers claims beyond the limits of an existing auto or home insurance policy, adding $1 million and up in additional liability coverage. State Farm umbrella insurance may also cover claims that aren't covered by a standard liability policy, like slander, libel, and psychological harm.
What State Farm Umbrella Policies Cover
- Certain lawsuits, like slander, libel and defamation
- Injuries to other people if you're at fault
- Damage to other people's property if you're at fault
State Farm's umbrella policies are a good choice for customers with a high net worth who want extra coverage for property damage, injuries, and possible lawsuits that could result from various types of incidents. To be eligible, you will also need an auto policy from State Farm.
You can get a quote for State Farm umbrella insurance by calling (844) 242-1899.
To learn more, check out reviews and key information about State Farm on WalletHub, as well as our guide to umbrella insurance.
This answer was first published on 04/24/23 and it was last updated on 01/15/24. For the most current information about a financial product, you should always check and confirm accuracy with the offering financial institution. Editorial and user-generated content is not provided, reviewed or endorsed by any company.
FAQs
Umbrella insurance covers injuries, property damage, certain lawsuits, and personal liability situations that exceed your home and auto liability coverage.
What does umbrella coverage include? ›
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.
How much umbrella policy is enough? ›
You can choose to set your umbrella limit based on your total assets. That gives you more protection than basing it on your net worth. Some experts recommend coverage equal to the value of your assets without regard for your debts.
What are the disadvantages of the umbrella policy? ›
What are the disadvantages of the umbrella policy? While umbrella insurance offers extensive coverage, it doesn't cover personal injuries or property, business losses, and intentional or criminal acts.
What is the rule of thumb for umbrella insurance? ›
The amount of your umbrella insurance policy should match your entire net worth. So if your assets stand at $1 million—bingo. That's how much umbrella insurance you need.
What umbrella does not cover? ›
What does a personal umbrella insurance policy cover?
| What is typically covered by an umbrella insurance policy? | What is typically not covered by an umbrella insurance policy? |
|---|
| Personal injury | Business losses |
| Property damage | Intentional or criminal acts or omissions |
| Landlord liability | Written or oral contracts |
1 more rowIt does not cover damage to our own property or any liability related to your business or profession. The umbrella also typically does not cover exposures that the underlying policies also do not cover.
Is state farm umbrella policy worth it? ›
State Farm's umbrella policies are a good choice for customers with a high net worth who want extra coverage for property damage, injuries, and possible lawsuits that could result from various types of incidents.
Is umbrella coverage worth it? ›
An umbrella policy can forestall the prospect of financial ruin due to an unintentional misstep or an unforeseeable accident. You may also wish to consider increasing the liability limits on your auto or homeowners insurance policies.
Do umbrella policies cover defense costs? ›
A personal umbrella policy provides coverage for liability and defense costs your primary insurance, such as auto, homeowners, and renters insurance policies, do not cover. As you assess your risks, you may want to consider an umbrella policy to provide additional protection.
Yes, you can apply and be denied umbrella insurance.
Who really needs an umbrella policy? ›
If your net worth exceeds the maximum liability coverage you can get via your standard insurance policies, you'll need an umbrella policy to help protect your assets in case you're found liable for an incident that has devastating financial repercussions.
How much does a $1 million umbrella policy cost? ›
Umbrella policies typically start at $1 million in liability coverage. According to an ACE Private Risk Services report noted by Forbes, the average cost a $1 million personal umbrella policy is $383 per year for an individual with one home, two cars, and two drivers.
Is an umbrella policy with insurance worth it? ›
An umbrella policy can forestall the prospect of financial ruin due to an unintentional misstep or an unforeseeable accident. You may also wish to consider increasing the liability limits on your auto or homeowners insurance policies.
How much is a $10 million dollar umbrella policy? ›
The reasonable cost for high limits of coverage makes excess liability coverage the best value in personal insurance. For umbrella policies up to $10 Million in coverage limits, annual premiums generally cost in the range of $220 to $225 per Million, depending on the client's particular underwriting profile.
At what net worth should you have an umbrella policy? ›
As a general rule, it's recommended to have umbrella insurance coverage equal to your net worth. For example, if your net worth is $1 million, you should have at least $1 million in umbrella insurance coverage.
What does a typical commercial umbrella insurance policy provide? ›
A commercial umbrella liability policy will generally cover: Building, work equipment, and other business property damage. Medical bill expenses, attorney fees, and damages stemming from a lawsuit. Judgments and settlements.
