When you think of an umbrella you usually think about protection from the rain. But there's a financial umbrella that can be much more important. Our financial expert Aaron Maguire helps us understand why we need umbrella insurance.

Aaron said it' s often called excess liability insurance It is essentially an insurance policy that covers your auto, homeowners and watercraft policies. An umbrella insurance policy is designed to kick in when your policy limits for your auto, homeowners, or watercraft policy have run out.

Why would you need Umbrella Insurance?

If you were sued, your personal assets could be at risk, your umbrella policy would kick in to help pay for any costs. If you were in an auto accident and it was determined that it was your fault, you could get sued. Your umbrella policy would kick in if your auto policy limits were exhausted. If someone got hurt at your home, the umbrella policy would kick in if your home owners insurance limits were exhausted

Is Umbrella Insurance expensive?

The cost will depend on how many cars you own, value of your home and/or boat. $1,000,000 worth of umbrella insurance could cost as little as $120 per year. An umbrella policy is a no-brainer decision...buy it!

For more financial related topics visit www.reliancewealth.com or if you have a question for Aaron, e-mail him at aaron.maguire@reliancewealth.com.