Umbrella insurance provides coverage beyond the limits of your auto, homeowners or other insurance policies.
It can protect you financially from bodily injury and property damage liability claims, as well as legal expenses beyond your usual insurance limits if you find yourself in a lawsuit.
Below, CNBC Select rounds up the best umbrella insurance providers based on availability, customer satisfaction and maximum limits. (See our methodology for more on how we made this list.)
Best for customer satisfaction: Travelers
Travelers Umbrella Insurance
Cost
The best way to estimate your costs is to request a quote
Maximum coverage
$10 million
App available
Yes
Policy highlights
A Travelers Umbrella Insurance policy comes with all of the protection you need, covering you at home and abroad. These umbrella policies include coverage for libel, slander, and defamation of character, and legal defense costs.
Pros
- High enough coverage options for most typical families
- High ratings for customer satisfaction
Cons
- Quotes and purchasing not available online
Who's this for? Travelers can be a good fit for many families and business owners, offering umbrella insurance coverage worth up to $10 million. It can also help provide coverage for liabilities that happen outside of the U.S.
Standout benefits: Travelers is highly rated for its underlying policies, homeowners insurance and auto insurance, earning high rankings from J.D. Power for both types of insurance. Additionally, a below-average complaint index helps Travelers stand out.
Types of umbrella insurance: Personal and commercial
Best for bundling coverage: American Family
American Family Umbrella Insurance
Cost
The best way to estimate your costs is to request a quote
Maximum coverage
Undisclosed
App available
Yes
Policy highlights
American Family has a wide variety of umbrella policies available, including personal coverage, commercial coverage and coverage for ranches and farms. It's also highly rated for auto and home insurance.
Pros
- Wide variety of coverage options available.
Cons
- Not available in all 50 states.
Who's this for? American Family offers strong options for auto and homeowners insurance, as well as a unique umbrella insurance policy for individuals with a farm or ranch.
Standout benefits: American Family's umbrella insurance offers the opportunity to bundle coverage, making it a top choice for those seeking simplicity and savings.
Types of umbrella insurance: Personal, commercial, farm and ranch
Best for high-net-worth families: Chubb
Chubb Masterpiece Excess Liability Insurance
Cost
The best way to estimate your costs is to request a quote
Maximum coverage
$100 million
App available
Yes
Policy highlights
Chubb's Excess Liability Insurance offers high coverage limits with a strong track record of customer service and satisfaction. It offers coverage worldwide and at home, and includes defense costs and legal counsel in lawsuits.
Pros
- High coverage limits
- Strong scores for customer satisfaction
Cons
- Quotes and purchasing not available online
Who's this for? Chubb's excess liability insurance is a strong choice for individuals with substantial assets to protect, with policies that can potentially reach $100 million. It's one of CNBC Select's top picks for high-net-worth families for homeowners insurance, flood insurance and jewelry insurance.
Standout benefits: Chubb offers worldwide coverage, including liability coverage for employment practices related to residential staff and defense expenses for most lawsuits.
Types of umbrella insurance: Personal and commercial
Best for military families: USAA
USAA Umbrella Insurance
Cost
The best way to estimate your costs is to request a quote
Maximum coverage
$5 million
App available
Yes
Policy highlights
While only available to military members, veterans and their families, USAA's Umbrella Insurance could be a good fit for those eligible who already have auto insurance policies through the company (carrying an auto policy is a requirement for this umbrella insurance). Its auto and homeowners insurance offerings are highly rated for customer claims satisfaction.
Pros
- Auto insurance through USAA is required, but other insurance companies may be used for other coverages.
- High ratings for customer satisfaction
Cons
- Only available to military members and their families
Who's this for? Former and current U.S. military members and their families are eligible for up to $5 million in USAA umbrella coverage.
Standout benefits: USAA is consistently one of our top picks for auto insurance, which anyone getting umbrella insurance will need (except in New York, Pennsylvania and Hawaii).
Types of umbrella insurance: Personal and commercial
What does umbrella insurance cover?
If you are a high-net-worth individual, the liability limits of your auto, homeowners or other insurance policy may be insufficient. Umbrella insurance extends coverage limits and protects your assets if you're found responsible for damages or injuries.
If you're involved in a car accident that results in a $500,000 medical bill, but your auto insurance policy has a $300,000 limit, an umbrella insurance policy would cover the remaining $200,000. Otherwise, your savings and future earnings could be used to cover the difference.
This kind of coverage typically helps if you're facing a lawsuit for unintentional damages. It can provide coverage for legal defense costs that you'd otherwise be on the hook for, including things like attorney fees.
Who needs umbrella insurance?
Anyone with assets to protect from legal rulings could benefit from umbrella insurance. Some are at a higher risk, including:
- People with a significant net worth
- Pool or trampoline owners
- Frequent hosts
- Children's sports coaches
- Young drivers
- Landlords
Umbrella insurance FAQs
What is not covered by umbrella insurance?
Since umbrella insurance is designed to cover damages to others, it won't cover your property or belongings. Umbrella insurance also won't cover intentional acts.
Under a personal umbrella insurance policy, business-related damages or property losses are not covered. Generally, this includes businesses operated out of your home.
How much umbrella insurance do I need?
Generally, umbrella insurance coverage should equal your taxable assets, including things like investments, homes beyond your primary residence and other assets.
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Why trust CNBC Select?
At CNBC Select, our mission is to provide our readers with high-quality service journalism and comprehensive consumer advice so they can make informed decisions with their money. Every insurance review is based on rigorous reporting by our team of expert writers and editors with extensive knowledge of insurance products. To research the best umbrella insurance companies, we compiled over 100 data points on more than a dozen insurance companies offering umbrella insurance policies. While CNBC Select earns a commission from affiliate partners on many offers and links, we create all our content without input from our commercial team or any outside third parties, and we pride ourselves on our journalistic standards and ethics. See our methodology for more information on how we choose the best umbrella insurance companies.
Our methodology
To determine the best umbrella insurance companies, CNBC Select analyzed dozens of insurance companies and compared them based on policy requirements and limits, nationwide availability, types of umbrella insurance available, and more.
When narrowing down the best umbrella insurance companies, we focused on minimum and maximum limits, and service ratings from JD Power's customer satisfaction rankings for homeowners insurance and auto insurance. We also considered complaint index data from the National Association of Insurance Commissioners and financial strength ratings from A.M. Best.
We also considered CNBC Select audience data when available, such as general demographics and engagement with our content and tools.
Based on that criteria, the best companies for umbrella insurance are:
- Best for customer satisfaction: Travelers
- Best for bundling coverage: American Family
- Best for high net worth families: Chubb
- Best for military families: USAA
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