If you visit your property/accident agent frequently, you may have been in touch with your needs for PLUP. What is the PLUP you asked? It is an acronym for the Personal Responsibility Umbrella Policy. You might think, "Why do I need an insurance policy to make up for the damage I have caused with an umbrella? This looks strange…"
Although the unintentional injury caused by your use of a private umbrella will be covered by the umbrella policy, this is not the meaning of the term. An umbrella policy is coated because of the way it protects everything below. In this case, you can protect your assets from excess claims that you may be personally responsible for. This is an example:
You decide to go to the barbecue party to celebrate the beginning of the summer. You always want to do some repairs on your deck, but it's no big deal. A few friends have come over, and some of your friends are not very clear about you. When you carry your back on the barbecue, one of the acquaintances will enter the deck railing. It gives way to his terrace below the two stories. Seriously injured, you called 911 and an ambulance came to him for treatment. You later discovered that he had cervical neck and head trauma and could never recover. His family sued your medical expenses and personal compensation. Yes, you have homeowner insurance and some liability insurance, but the medical expenses and personal losses they seek are more than a few hundred thousand dollars.
What is your job?
Often, you find the best lawyer and try to settle out of court, hoping that you won't lose everything you have to pay for a family or attorney. This is a nightmare scene, and most people think that this will never happen to them. Unfortunately, this is just one of many things. A simple mistake, a little negligence, or even the behavior of a minor child can eventually lead to an increase in your cost of living.
The Personal Responsibility Umbrella Policy is a cheap way to get a greater degree of protection for your assets, with an insurance fee of about $250 per year for every $1 million. Usually they are protected for at least $1 million, and their policy restrictions may be much higher if you prefer. Insurance companies will require you to assume higher liability protection limits in your home/car policy, but this is usually a good idea anyway.
If a large liability claim does occur, the insurance company will provide and represent you [and its work] to provide the best defense. Of course, every company is different. Before you decide to buy anything, you should thoroughly study your specific situation and the specifics of the policy itself.
Taking into account the culture of prosecution in our lives, PLUP can be a cost-effective risk management tool that protects your eggs from a simple mistake. We often discuss with customers how to add a PLUP to their insurance portfolio, and we want to pass this message to you.