He adds that major insurance companies including Allstate, State Farm, USAA and Geico all offer umbrella policies "because the risk to the insurance company is so low, the cost of coverage is very cheap."
For $1 million in umbrella coverage, typically you’ll pay $200,” Clark says. “Each million you add after that is cheaper than the prior million, because the risk that a claim would ever get into those kinds of numbers is so unlikely.”
But again, umbrella insurance is not for everyone.
"It is a very cheap form of insurance," Clark says, "and highly recommended to anyone who owns their home free and clear and has meaningful other assets."
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