The chances that a personal liability suit would blow by 2-3 M$ is pretty small. For two M$ you get a very interested legal team defending you, even it’s for a $10M action.
They would have to prove pretty egregious action on your part to surpass a M$.
Respectfully disagree - let’s say you hurt a pedestrian while driving your car and they break their leg. They can easily rack up $500k in bills and sue you for $4m with pain and suffering. Without an umbrella that covers ALL of your non-home and 401k assets - you’re bankrupt.
95% of all personal injury lawsuits end in settlements. Of those auto-injury cases that go to trial, 40% of the plaintiffs lose.
According to this site the average settlement for a car hitting a pedestrian is $68K. The max was $1.1M
Only if you have both auto and homeowner’s through that company and up your auto limits to 250/500k, at least everywhere I checked. In CA, your regular IRA is not a protected account like the Roth nd 401k/ 403b. I believe Clark addressed this before. I tried like heck to get an umbrella and couldn’t get it done on my retirement income as the bundling discount still didn’t hold a candle to my insurance through AAA. In my case, due to high fire risk, the only company that would offer HO was State Farm. They no longer write new auto policies here so I couldn’t get it done now even if I could afford them.