Most households buy an umbrella without ever being told what happens mechanically when a claim is large enough to reach it. The sequence is simple and worth knowing before you need it.
The underlying policy pays first, up to its limit. The umbrella pays above that, not alongside it.
Three stages, in order.
A liability claim is reported to and managed by the policy beneath the umbrella: your auto or homeowners insurer. They investigate, defend and negotiate. The umbrella insurer is notified and stays in the background while the claim remains within the underlying limit, which most claims do.
If the claim exceeds what the underlying policy will pay, that limit is exhausted and the umbrella takes over from that point upward. It does not share the claim from the start and it does not reduce your underlying deductible. It is a second tank rather than a bigger one.
Where a claim looks like it may exceed the underlying limit, both carriers need notice. Late notice to the umbrella insurer is one of the few things that can genuinely jeopardize the cover, and it is easy to overlook when the first insurer seems to be handling everything.
Making the mechanism work.
The umbrella attaches at a stated figure and will not drop lower.
We handle that so the umbrella is not told late.
It changes how much cover a long claim leaves you.
Send your current auto and home liability limits so we can check the attachment point.
We make sure the umbrella attaches where your other policies end.
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