News Summary
Mercury Insurance has introduced a new personal umbrella insurance policy for homeowners and drivers in Florida, aimed at providing additional liability protection. The policy, starting at just over $1 a day, comes in response to a 35% increase in liability claims since the COVID-19 pandemic. It offers coverage for various scenarios that exceed standard policy limits. With rising insurance rates, this policy is crucial for Floridians looking to secure their financial future against unpredictable legal challenges.
Florida – Mercury Insurance has launched an enhanced personal umbrella insurance policy aimed at providing homeowners and drivers in the state with additional liability protection. This introduction comes in response to the rising incidence of liability claims, which have surged by 35% since the onset of the COVID-19 pandemic. The newly available policy serves as a critical safety net for Floridians, given that the costs associated with personal injury claims in the state can be considerable and unpredictable.
Homeowners and drivers can purchase this umbrella policy for a little over $1 a day. Coverage typically starts at $1 million and can be customized for higher limits, offering broader protection. The personal umbrella insurance addresses situations that surpass standard policy liability limits, covering instances such as injuries on private property, severe vehicle accidents, defamation, and libel.
The rollout in Florida follows Mercury’s earlier launches of the same policy in states such as California, Texas, Oklahoma, Illinois, Arizona, and Georgia. The policy is especially relevant as it caters to various risk factors contributing to increased claims, including multi-vehicle crashes, dog bites, and injuries sustained by delivery persons on private property. Drivers in Florida must meet minimum underlying coverage requirements to qualify for the policy. For auto insurance, this includes maintaining at least $250,000 in bodily injury coverage per person and $100,000 in property damage coverage.
Despite the overall high costs of insurance in Florida, umbrella policies remain affordable, averaging around $400 per year for $1 million in coverage. Premium costs can vary based on individual circumstances such as driving history, net worth, and past claims. To incentivize safe driving practices, Mercury is offering a 5% discount to drivers who have maintained a clean accident record for the past three years. Policyholders can also choose to increase their coverage limits incrementally up to $2 million and can opt for uninsured motorist protection up to $1 million.
Industry analyses reveal an ongoing trend of rising umbrella insurance prices, with average annual premiums escalating by 7% from 2019 to 2022. Some clients have experienced premium increases that have nearly tripled for identical coverage limits, reflecting growing personal and regional risks. Furthermore, insurers have become more selective when approving higher umbrella limits, making it crucial for consumers to act promptly to secure adequate coverage.
A relevant example shared by Mercury’s Vice President and Chief Sales Officer highlights the essential role of umbrella insurance. A physician was burdened with substantial out-of-pocket costs after exceeding his $25,000 auto policy limit due to a moped accident. This case exemplifies why securing an umbrella policy is vital for protecting personal finances against significant legal judgments.
The introduction of the enhanced umbrella insurance policy from Mercury underscores the increasing necessity for comprehensive liability coverage, particularly in Florida’s dynamic and often unpredictable legal landscape. As consumers navigate a marketplace marked by rising risks and costs, having robust protection in place is becoming more important than ever.
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Author: STAFF HERE PETERSBURG WRITER
ST PETERSBURG STAFF WRITER The ST PETERSBURG STAFF WRITER represents the experienced team at HEREStPetersburg.com, your go-to source for actionable local news and information in St Petersburg, Pinellas County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Grand Prix of St. Petersburg, Localtopia, and SHINE Mural Festival. Our coverage extends to key organizations like the St. Petersburg Area Chamber of Commerce and St. Pete Downtown Partnership, plus leading businesses in finance, manufacturing, and healthcare that power the local economy such as Raymond James Financial, Jabil, and Bayfront Health St. Petersburg. As part of the broader HERE network, including HEREJacksonville.com, HEREOrlando.com, HERETallahassee.com, and HERETampa.com, we provide comprehensive, credible insights into Florida's dynamic landscape.
