Temperatures are slowly on the rise and soon many Fountain Hills residents will be dipping their toes into their swimming pools with family and friends who come over to join in the fun.
As a homeowner, when you offer an invitation to come into your home, you open the floodgates of liability. Whether family or friend, you (the homeowner) are ultimately responsible for their well-being while on your premises, and in the event of an accident, could be held liable. If the injured party enlists the advice of legal counsel, you could be on the hook for a long and painful litigation process.
We reached out to Scott Schlossberg, owner of Farmers Insurance on Shea Boulevard and one of our trusted vendors, to explain what homeowners can do to protect themselves.
“It is imperative that you carry the proper liability limits on your homeowner’s policy, and, in many cases, an umbrella policy is highly recommended to supplement the underlying limits,” says Scott.
He explains that the idea is that you are protecting the assets that you have worked your entire life to acquire. If you have assets (liquid and real property) of $2 million, for example, then you should have liability limits that would exceed the amount of your assets. In the event of a claim, clever attorneys will not only attempt to seize your assets but also garnish up to 25% of your wages.
“A Farmers homeowner’s policy will offer base liability limits up to $2 million per occurrence. If your current limits are inadequate, you will be pleasantly surprised to see how little cost is involved in raising your limits to the proper level.
“If you have assets in excess of $2 million, an umbrella policy would be your next line of defense. Umbrella policies are offered in increments of $1 million, and up to $10 million in the case of a Farmers policy. They are relatively inexpensive (approximately $200 for a $1 million policy) and for every additional million, the cost decreases.”
If you have inadequate liability limits, it only takes one serious claim to ruin you financially. Please contact your current insurance carrier to ensure that you are properly protected. If you are looking for a local, trusted insurance agent, we recommend you contact Scott Schlossberg at his Fountain Hills office at 480-833-0194, or visit https://agents.farmers.com/az/fountain-hills/scott-schlossberg.