The amount of excess liability coverage that is right for you depends upon your financial situation. A good start is considering the following:
Portfolio review – review all of your assets from your house, investments, 401k, college funds for your children, personal belongings and collections and to some extent, future income potential.
Risk review – Determine your risk factors from long commutes, travel, teen drivers in your household, number of residences owned, domestic employees, watercraft and household online activities.
Perception – Your professional standing and reputation matter. While it may be obvious that being wealthy makes you a target, perception plays a role too. Your profession and success may lead people to pursue larger lawsuits against you.
It only takes a second to lose what you’ve spent a lifetime building.