What is Umbrella Insurance and Do I Need It?

If you have a fair amount of retirement assets saved up (like a lot of folks out there), the answer may well be yes. Here’s why and what to expect.

Woman standing under an orange umbrella in the rain
(Image credit: Getty Images)

Homeowners insurance, car insurance, health insurance, life and disability insurance … if you already have all these policies in place as part of a strategic protection plan for yourself and your assets, you might find it hard to believe that there could possibly be yet another type of insurance that you need.

But the reality is, the more complex your financial situation gets — and the more your net worth grows — the more pressing it becomes to consider umbrella insurance on top of your current policies.

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This article was written by and presents the views of our contributing adviser, not the Kiplinger editorial staff. You can check adviser records with the SEC or with FINRA.

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Malik S. Lee, CFP®, CAP®, APMA®
Managing Principal, Felton & Peel Wealth Management

Malik S. Lee, CFP®, CAP®, APMA®, is a financial expert with nearly two decades of experience and is the managing principal and founder of Felton & Peel Wealth Management, a full-service, comprehensive wealth management firm servicing clients nationwide with offices in both Atlanta and New York. Malik graduated with a degree in finance from Morehouse College and is a CERTIFIED FINANCIAL PLANNER™, Chartered Advisor in Philanthropy® and an Accredited Portfolio Management Advisor℠.