“Everybody is concerned about asset protection,” says Gary Pittsford, president of Indianapolis-based Castle Wealth Advisors, “but this is particularly true for high-net-worth clients. They might be targets of lawsuits. If one of their kids backs into someone in a parking lot, they need to have a protection plan in place.”

To Pittsford, such plans for his clients start with ample liability insurance. In addition to maximum coverage on home and auto policies, HNW clients need hefty amounts of umbrella excess liability insurance. “A client with $5 million in net worth might have a $3 million umbrella,” he says, “someone worth $10 million might have a $5 million umbrella, and so on.” The umbrella policy can pay claims in excess of or not covered by auto or homeowners liability limits.

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