It is important that an individual’s assets are insured, but often high net worth individuals are not protected properly. It is common for affluent individuals to purchase a personal umbrella or excess liability policy in order to supplement their homeowner’s and auto insurance policies, but this is not always sufficient.
Knowing Your Risk
The experts at SB One Insurance state that many high net worth individuals are under-insured. In some cases, their wealth may now exceed the coverage of their current policies. Otherwise, their insurance simply doesn’t fit the property being insured, causing a potential for being under-insured in some areas, while over-insured in others. It is important to know the net worth of the items you own and opt for the correct kind of insurance for your property.
Understand Your Options
Many types of insurance for high net worth individuals are available, and many of these policies will have options for expanded coverage. These include:
- Homeowner’s Insurance
- Excess Liability
- Valuable Articles Coverage
- Household Workers Compensation
- Watercraft Insurance
- Professional Liability Insurance
You may also need to review your life and auto insurance.
Understand the exposure you have and the value of your assets. This can help ensure that you get enough coverage for the property and liability you do have, and also will prevent you from being unnecessarily over-insured in other areas.