4 Essential Coverages for Protecting Your High-Net-Worth Assets
Although many individuals and families may not consider their circumstances to require insurance coverage beyond standard policies, the need for high-net-worth essential coverages may be more applicable than they realize. In many situations, people may underestimate the value of their possessions and assets, meaning they may have insufficient insurance coverage.
These assets may be seized or indirectly used for compensation if their owner is the subject of a lawsuit, which could arise from many situations. With these things in mind, understanding how certain types of insurance can financially protect high-net-worth assets is essential.
How Can Insurance Help Cover High-Net-Worth Assets?
Many types of insurance may be relevant when considering the financial protection of high-net-worth assets. As individuals, families and property owners assess their needs and pursue appropriate coverage solutions, they should analyze the following options:
- High-value home insurance—Homeowners insurance is one of the most common types of coverage in the United States; however, standard policies may not be sufficient for many people. For those who have particularly valuable homes, including high-end renovations and additions, special features, or expensive belongings, high-value home insurance may be necessary to ensure adequate coverage following various incidents, such as fires and burglaries.
- Cyber insurance—Gone are the days when cybercriminals primarily focused their attacks and scams on large corporations. Many perpetrators now target small- and medium-sized businesses, as well as individuals and families. Those with considerable financial assets may be at particularly high risk of drawing the attention of these criminals, making adequate coverage a potentially invaluable investment.
- Workers’ compensation insurance—Although individuals and families might not consider themselves in need of this type of coverage, those who employ a household staff or even a single employee, such as a housekeeper, chef or nanny, may still require an adequate policy. Without adequate insurance, a slip on a wet floor, tumble down the stairs or other accident could lead to costly lawsuits and catastrophic financial ramifications.
- Personal umbrella insurance—This type of coverage can provide a secondary layer of financial protection for policyholders. For example, if the personal liability limits of your homeowners insurance are exhausted, you might need to pay for the remaining losses out of pocket. However, if you have a personal umbrella policy, it can provide additional financial protection for you and your assets.
Get the Right Essential Coverages
Having served families and individuals in the Cranston, Rhode Island, area for over 60 years, the dedicated staff at the Cormack-Routhier Agency, Inc. is ready and able to help you financially secure your high-net-worth assets. Visit our website or call 401-944-9400 to learn more about your options and find appropriate coverage.
This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.