Coverage for losses above the limit of an underlying policy or policies such as homeowners and auto insurance. While it applies to losses over the dollar amount in the underlying policies, terms of coverage are sometimes broader than those of underlying policies.

"Umbrella Policy" In Context

"A typical umbrella policy might cost $383 in annual premiums for a coverage limit of $1 million that would cover one home, two cars and two drivers, or $999 in annual premiums for a similar policy with a $10 million limit, according to the ..."