If you’re a Highland Village, TX homeowner, then you know that insurance is a must. With severe weather conditions like hail, tornadoes, high winds, and flooding, it’s essential to have insurance policies covering the potential damage to your home. But what kind of policy should you get? In addition to primary home insurance, Thompson Insurance Services sells two main homeowner’s insurance policies: excess and umbrella. So, which one is right for you?

Excess insurance policies

Excess insurance policies are designed to cover damages not covered by your primary policy. For example, if you have a fire in your home and your primary policy only covers $50,000 worth of damage, your excess policy would cover the remaining $100,000. This type of policy is typically used by people who live in high-risk areas or have expensive homes.

Umbrella insurance policies

Umbrella insurance policies are designed to cover damages not covered by your primary or excess policy. So, if you are sued for $500,000, and your primary policy only covers $250,000, then your umbrella policy would cover the remaining $250,000. If the total value of your assets is more than what your homeowner’s or auto insurance covers in Highland Village, TX, you might want to buy umbrella insurance. In case of a lawsuit, umbrella coverage may protect your assets.

Both excess and umbrella insurance policies have their advantages and disadvantages. It depends on your situation as to which one is right for you. If you’re unsure which one to get, set up an appointment with Thompson Insurance Services. One of our experienced agents will be able to help you choose the best policy for your needs.