IRWIN KRAMER: Your homeowners insurance policy not only protects your home. In many cases it can protect you very far from home.
JOHN DOETZER: Because the liability coverage is comprehensive in nature. It is not tied to a specific location, it is tied to you. You are the named insured under the policy, you and your family member living with you at the time the claim occurs. You are away in another city and it starts to rain and you open your umbrella and happened to open up and poke somebody in the eye. Your homeowners liability policy provides coverage for that potentially bodily injury incident.
IRWIN KRAMER: Speaking of umbrellas, you might want to buy an umbrella policy as well.
DAVID PISANIC: An umbrella policy is extra coverage that you can buy that protects you in-case there is a large loss. It is also called excess coverage.
IRWIN KRAMER: It can protect you rain or shine in the event that a real catastrophe occurs.
DAVID PISANIC: And, if that really bad thing happened, then that person will be coming back against me, against my assets asking me to compensate that. So, I need more insurance. I am going to put on umbrella on top of what I have already got, so I make sure that I have got enough coverage in case that really catastrophic bad thing happens to protect my assets. So, the more you have to protect, obviously the more insurance you would have to buy unless you wanted as well to die soon and whatever happens, happens.