Individuals who worry about the costs of being involved in an accident may want to consider an Umbrella Insurance Policy.

When buying auto insurance, you may be tempted to just buy the minimum amount of coverage that is required by the state. Doing so may seem like a good way to try and save on car insurance premiums, but the minimum coverage may not be sufficient to pay for your expenses if you are involved in a major accident and are found to be at fault. This could end up costing you a fortune.

This is where a California Umbrella Insurance Policy comes into play. You can purchase $1 million in coverage for about $ 150 – $300 per year, or up to $5 million if you are willing to pay a bit more. An Umbrella Policy only kicks in when your other coverage runs out. Having an Umbrella Policy on top of your standard car insurance may give you peace of mind. If you decide against taking out an Umbrella Policy, at least make sure to do your homework in term of knowing how much coverage you have and its limitations.