#United States #Virginia #Mercury Insurance #Umbrella Coverage #Virginia Insurance

Rising Bodily Injury Costs Prompt Mercury's New Insurance Launch in Virginia

Amidst the ongoing shifts in personal liability claims, Mercury Insurance has announced a new umbrella insurance policy tailored for residents of Virginia. As the financial implications of bodily injury claims surge, homeowners and auto owners alike are at risk of exceeding their insurance limits during accidents. This new product aims to provide enhanced coverage and financial security for Virginians navigating these risks.

Background on Bodily Injury Trends

Bodily injury claims have seen a significant rise since the pandemic began, increasing by an alarming 35% on average for liability claims, as reported by Mercury Insurance. Events like multi-vehicle collisions, dog bites, and even injuries sustained by delivery personnel on private properties can lead to substantial out-of-pocket expenses, jeopardizing homeowners' and drivers' financial stability.

Given this concerning trend, Mercury has unveiled an innovative personal umbrella insurance policy that bolsters coverage for accidents that may exceed standard policy limits. This added layer of protection can be acquired at a cost that starts at just over $1.00 per day, making it an accessible option for many.

Why Umbrella Insurance?

For many individuals in Virginia, the concept of umbrella insurance may come as a revelation. This form of coverage acts as an extensive safety net that goes above and beyond the liabilities covered by standard car and home insurance policies. This means in circumstances where usual policy limits aren’t sufficient, the umbrella coverage kicks in.

As highlighted by Forbes magazine, having umbrella insurance can be advantageous for anyone looking to shield their wealth, particularly from lawsuits that could arise from unexpected incidents. By doing so, individuals can rest easier, knowing that they are better protected against potentially crippling legal and financial repercussions.

Virginia's Rising Costs

Virginia has now become the ninth state for the rollout of this specialized insurance offering, following other states like California and Texas. Nick Colby, Vice President and Chief Sales Officer of Mercury Insurance, expressed concern over the increasing costs faced by Virginians due to unforeseen accidents, emphasizing the need for enhanced coverage.

He noted, "Unexpected accidents are becoming more costly for Virginians, which puts them at risk of having to pay out of pocket." With many residents not reviewing their insurance coverage as their personal wealth grows, they could be leaving themselves vulnerable to significant expenses.

For example, Colby shared the story of a Mercury policyholder who had maintained the same insurance limits from their earlier college days, even after becoming a successful doctor. When this individual accidentally injured a moped rider, the costs far exceeded the $25,000 cap of their auto policy, leaving him to bailout substantial charges out of pocket for several years until the damages were settled. This case is a potent reminder of the importance of reviewing and updating one’s insurance needs regularly.

Key Features of Mercury's Umbrella Insurance

Mercury's newly updated umbrella insurance product comes with several compelling features designed to cater to the modern policyholder's needs:

• - Multi-policy Discounts: Policyholders can benefit from significant savings by bundling their auto, homeowners, and umbrella policies.
• - Accident-Free Discounts: A 5% discount is offered for drivers with three years of no claims or accidents, incentivizing good driving behavior.
• - Uninsured Motorist Coverage: Up to $1 million in coverage is available for accidents caused by uninsured drivers.
• - Increased Liability Options: Customers can adjust their liability limits according to their specific requirements, with options going from $1 million up to $2 million.

Safeguarding Your Future

Colby refers to Mercury's umbrella policy as the 'Goldilocks' of coverage due to its tailored protection level for various customers, emphasizing its relevance in defending against unplanned financial burdens. With a portfolio that includes personal auto, homeowners, renters, and various types of commercial insurance, Mercury seeks to provide both value and peace of mind to its policyholders.

With its headquarters positioned in Los Angeles, Mercury Insurance is on a mission to offer competitive rates coupled with excellent customer service through a vast network of agents across 11 states. As Virginians confront increasing liability exposure, the introduction of this enhanced umbrella coverage might just be the protective measure they need to navigate their insurance landscape more securely.