To purchase a personal liability umbrella policy,the insured party must already have __________.

Question

To purchase a personal liability umbrella policy,the insured party must already have __________. ​

Quizplus · Accepted Answer

A personal liability umbrella policy is meant to provide additional liability coverage above and beyond the limits of an individual's existing homeowner's or auto insurance policies. Therefore, it is necessary for the insured party to already have relatively high liability limits on these policies. Federally subsidized flood insurance coverage or high levels of personal debt are not related to the purchase of a personal liability umbrella policy. Similarly, having made several claims with the insurance company may actually make it harder for the insured party to purchase this type of policy.

To Purchase a Personal Liability Umbrella Policy,the Insured Party Must