What is Group Personal Excess Coverage?
Today more than ever it is important for people to carry higher limits of personal liability coverage. In the event of a serious loss, your auto, homeowners and watercraft policies may not provide enough protection. A personal excess or “umbrella policy” will provide an additional layer of liability protection in excess of (meaning over and above) your primary homeowners, auto and watercraft policies.
A group personal excess policy provides that additional layer of protection with some added benefits.
The first is price. Through the OMSNIC Group Personal Excess program, you have the ability to purchase increased limits of protection at a fraction of the cost of a standard excess or “umbrella” policy.
The second major benefit of group personal excess over individual excess coverage is that there is no individual underwriting. That means that as an OMSNIC policyholder you are automatically eligible to purchase increased limits up to $25 million of excess coverage and $5 million of uninsured and underinsured motorist protection. It does not matter how many houses, cars, boats or teenage drivers you have; even your driving record is not a factor. As an OMSNIC policyholder not only do you automatically qualify but OMSNIC has paid for your first $1 million of excess liability and uninsured/underinsured motorist coverage. It is important to understand that this first $1 million of coverage provided by OMSNIC does not “stack” or go above any existing umbrella that you may currently have. It is important to contact us to talk about replacing your existing umbrella with the OMSNIC/Chubb personal excess policy.
A third major benefit of group personal excess with Chubb is the additional coverage that you cannot find in individual personal excess policies. As an OMSNIC policyholder you qualify for this program and all of its benefits but your family is also protected by it. Any family members still living in the household as well as anyone not related living in the house up to the age of 25 are all covered under the group personal excess policy. This includes any children away at school even if they have an out of state residence or become a resident of another state to attend school.
What is uninsured/underinsured motorist (UM/UIM) Coverage?
The OMSNIC Group Personal Excess policy offers up to $5 million of uninsured/underinsured motorist protection. UM/UIM coverage is, in fact, a coverage that is not offered in most personal excess or “umbrella” policies.
Uninsured/underinsured motorist coverage is protection for you and your family or any other passengers in your vehicle should you ever be involved in an accident with an uninsured or underinsured motorist. It covers bodily injury, loss of income, pain and suffering, property damage and, in addition, it provides life and disability insurance which exceed the amount of coverage provided in your primary auto policy. Most umbrella claims come from uninsured or underinsured motorists. This is why it is important to carry higher UM/UIM limits in your personal excess policy and also why most insurance companies don’t provide this coverage in their excess coverage.
What additional coverage is offered?
The benefits of the OMSNIC group personal excess policy with Chubb extend beyond the pricing, beyond the no individual underwriting, and beyond the UM/UIM protection. Below are some additional coverages provided by this policy that, again, most excess or “umbrella” policies do not provide.
Worldwide Coverage – this is increasingly important as world travel and study abroad programs become more common.
Unlimited Defense Costs – defense costs are unlimited and paid outside the limit of insurance so any expense costs will not deplete your limit of insurance in the event of an unfavorable judgment.
Loss of Earnings – Chubb will pay up to $25,000 when you or a covered person is asked to participate in a court proceeding.
Identity Fraud Expense – Chubb will pay up to $25,000 for identity theft resolution services.
Kidnap Expense – Chubb will pay up to $100,000 for kidnap expenses you or a family member incur as a result of a kidnap and ransom occurrence.
Shadow Defense – Chubb will pay up to $10,000 for an attorney of your choosing to shadow Chubb’s attorney to make sure everything is handled to your satisfaction.
Reputational Injury – Chubb will pay up to $25,000 for expenses that you or a family member incur for services provided by a reputational management firm to minimize potential damage to the reputation of you or a family member if Chubb is defending you or a family member in a suit seeking covered damages.
How much coverage do I need?
When deciding how much coverage to purchase it is important to keep in mind a couple of things. First, your assets and income, although important, are not as important as how much you can be held responsible for in the event of an accident. Damages are not limited to the amount of money you have and a court can easily garnish future wages. The beauty of our group program is that there is no individual underwriting so you can raise your limits substantially for very little cost and without going through a rigorous underwriting process and worrying about being separately charged for every car, boat, young driver, etc. that you have. So why not take advantage of it?
The second thing to keep in mind is your exposure level. Do you have more than one house or do you have a boat, recreational vehicle, etc. or young drivers (away at school or not)? Do you live in an area where there is a greater portion of the population driving without insurance? Unfortunately there is no simple formula to determine your personal excess limit needs, but you do need to consider your exposure when deciding on a limit.
If you have additional questions or would like further clarification, please call or e-mail Jack Kohlenstein at (855) 694-7739 or firstname.lastname@example.org