Mountain View Insurance – High-Net Worth Insurance
Our personal insurance packages are meant to protect our client’s assets. Our motto is to protect, preserve, and grow our assets and the protection aspect becomes even more important as the amount your assets increase. In this section of the website we will give you educational information to consider to protect your assets.
High-Net Worth – What are the Risks?
The primary risks that insurance protects you from are: lawsuit and unforeseen losses. Liability protections cover in case of lawsuit while car insurance, home insurance, and other packages such as valuable item insurance cover a loss to your property.
Protect Yourself Against Lawsuits
When and where do lawsuits arise? The answer is anytime and anywhere! Of course, that does not mean that the other party will win the lawsuit – but the fact is that a lawsuit can arise for many reasons. So it is very important to protect yourself against lawsuits to protect your assets.
We accomplish proper lawsuit protection in the form of liability insurance coverage. Your “underlying coverage” in your auto, home, and rental properties have to be appropriate. This is the foundation to the liability coverage. The following is a good example of insurance levels to allow you to qualify for the next tier of coverage.
- Car Insurance Liability $250,000/$500,000/$100,000
- Home Insurance Liability $500,000
- Rental Property Liability $500,000
Once you have established that level of underlying insurance then you can consider an umbrella policy.
Umbrella Insurance – The Ultimate Personal Liability Protection
An umbrella policy is often referred to as a personal umbrella policy because it only covers liability on the personal level. This is a very important note for business owners as it does not extend out to their businesses.
Personal Umbrella Policies insure against a lawsuit and the minimum coverage level is usually $1,000,000. These policies are fairly affordable as well, costing around $200-$400 annually.
Remember, the underlying coverage are the first line of defense against lawsuit. If they get overwhelmed then the umbrella policy kicks. The purpose of the umbrella at the end of the day is to protect your assets in case of a lawsuit.
Protection from Unforeseen Losses
We’ve addressed protecting your assets from lawsuit – now lets jump into protecting your assets against unforeseen losses such as fire, car accidents, and more.
This is the basis of what most people think of insurance. For instance, if your home burns down the insurance is meant to replace the home. But of course it gets more complicated, especially as the size of the home and value of the property increases.
Did you know that each insurance carrier usually has 3-5 different “tiers” for their car and home insurance. Here is an example of coverage tiers that Travelers offers for their home insurance clients
- Value
- Silver
- Gold
- Platinum
- Platinum Plus
The differences vary greatly from Value to Platinum Plus. Because there are so many options to choose from it is important to consult a professional to consider all the variables. The difference could mean either having a depreciated cost policy versus a replacement cost policy. Big difference.
This concept holds true for auto insurance, renters insurance, and valuable items insurance. There is tons of information to sort through and consider when insuring your life.