The phrase umbrella insurance should be on your radar if you live in Naples, own a home or vehicle, or host guests at your property. It’s an inexpensive way to protect your savings, home equity, and future earnings from a single catastrophic liability claim.
Umbrella insurance is extra liability coverage that sits “on top of” (like an umbrella) your existing policies, typically your homeowners, auto, and sometimes boat or rental property policies. If a claim or lawsuit exceeds the liability limits on those primary policies, umbrella insurance kicks in to cover the excess up to your umbrella policy limit. Umbrellas can also cover some types of liability that your base policies don’t.
Florida does not require you to carry umbrella insurance. Instead, the state mandates minimum auto and homeowners coverages, but umbrella policies are voluntary. That said, many insurers require you to maintain specific minimum liability limits on your underlying policies before you’re eligible to buy an umbrella policy. An independent insurance agent can help you check the exact eligibility thresholds of your current coverage.
Florida’s unique risk landscape makes umbrella insurance particularly relevant. A higher frequency of lawsuits tied to homeowner claims has made Florida an outlier in homeowner litigation. That increases the chance a liability claim could escalate into a costly lawsuit.
Coastal and higher-end properties tend to have higher values and more guests and short-term visitors, which raises the exposure to bodily injury or property damage claims.
Florida’s minimum property damage liability limits are relatively low, so a serious car accident could easily exceed your auto policy limits without an umbrella. Carrying higher auto liability and an umbrella policy can help protect your assets.
Because umbrella insurance covers beyond primary policy limits, it can protect your savings, investments, retirement accounts, and even future wages from garnishment to satisfy a judgment.
What umbrella insurance typically doesn’t cover is your own property damage or theft (that’s covered by homeowners/auto policies), intentional or criminal acts, business liability, and certain professional liabilities.
To understand the best umbrella policy for you, working with an independent insurance agent can be incredibly beneficial. They can help you inventory your exposure. This includes identifying assets, properties you rent, and activities that increase risk. An independent agent can also help you compare carriers and endorsements. Some umbrellas offer broader language for libel, slander, or worldwide coverage; others have exclusions.
Umbrella insurance is a cost-effective way to protect yourself from catastrophic liability risks that could otherwise drain savings or threaten your home. Florida’s litigation environment and high-value properties make umbrella policies a prudent consideration for many residents, especially homeowners, landlords, and those with substantial assets or frequent guests.
At Domain Insurance, we will review your current policies, check whether you meet insurers’ underlying limits, and produce side-by-side umbrella options tailored to your exposure and budget. Contact us or call (239) 610-1116 to learn if this coverage is right for you.