Would you insure a steel warehouse building?

[Travis Conner]

It's a separate property from where I live. Trying to decide if I should add flood insurance, that reminds me they never got back to me today when I asked about that and a couple other things but I got quoted $1400 Half of that was for windstorm and the other was the property damage/liability.

[David Walser]

... Trying to decide if I should add flood insurance, that reminds me they never got back to me today when I asked about that and a couple other things but I got quoted $1400 Half of that was for windstorm and the other was the property damage/liability.

Flood insurance is heavily subsidized by the federal government. On a risk adjusted basis, it's a good deal for policy holders. Not so for taxpayers.

[Andy D Jones]

THat is correct...the "umbrella" is over the regular coverage which typically tops out at $300-500K liability limits which is inadequate in this day and age for many folks.

My umbrella policy also requires certain minimum auto liability coverage limits on all automobiles titled to me (even partially), that are well above the state minimum auto liability coverage limits. This makes the premiums pretty low for the additional liability coverage supplied.

-- Andy - Arlington TX

[Jim Becker]

Yes, you have to be at a particular liability limit for your property and vehicles in order to leverage an umbrella for increased coverage. IMHO, state minimum liability limits are only useful for someone who has no assets. Anyone who owns property and other assets should (in this day and age) have the top liability limits available.

[Ron Selzer]

My umbrella policy also requires certain minimum auto liability coverage limits on all automobiles titled to me (even partially), that are well above the state minimum auto liability coverage limits. This makes the premiums pretty low for the additional liability coverage supplied.

-- Andy - Arlington TX

Once my agent dropped ALL my policies to Ins Co minimum was less than 100(less than 50 I think a year)
Ron

[Andy D Jones]

Yes, you have to be at a particular liability limit for your property and vehicles in order to leverage an umbrella for increased coverage. IMHO, state minimum liability limits are only useful for someone who has no assets. Anyone who owns property and other assets should (in this day and age) have the top liability limits available.

When my daughter moved to NC after college three years ago, the NC state MAXIMUM auto liability limit allowed was below the minimum requirements for my umbrella policy in TX (I was on the title as part owner of her car). Turns out NC uses a state-wide liability pool, and prevents coverage from exceeding a (relatively small) limit, and depleting the pool. I do not know if they have similar limits on liability claims. Anyway, my insurance company looked at it for a week or so, and decided they would waive that limit for that car.

And yes, liability insurance is to protect assets. TX provides the ability to post a bond in lieu of auto liability insurance. But anyone with enough assets to post the required bond would be silly not to protect the rest of their assets with liability insurance.

Especially with health insurance companies seeking to recover their costs by going after third party property (car or real estate) owners with a liability claim. An 83 year old widow friend of mine had to certify to her health insurance company that her back surgery they had covered was not caused by an accident outside of her home/property.

-- Andy -- Arlington TX

[Jim Becker]

Unfortunately, insurance is regulated by each state and there are, um...variations...in how things work.