Umbrella Insurance vs. Home Insurance

umbrella vs home insurance

Understanding homeowners and umbrella insurance is essential in protecting everything you have worked hard for.

What is Homeowners insurance?

Homeowners insurance protects you and your property in case of an unexpected loss. A standard home insurance policy typically covers the dwelling, personal belongings, other structures, loss of use, medical payments, and personal liability protection. Homeowners insurance covers losses or “perils” such as fire, wind, hail, vandalism, or theft.

What is umbrella insurance?

Umbrella insurance provides an extra layer of protection in an accident. It gives you additional coverage beyond your other insurance policies, like homeowners and auto insurance. Umbrella insurance typically covers bodily injury, property damage, landlord liability, legal fees, and injuries to someone’s reputation, such as slander, libel, or defamation.

You may want to consider umbrella insurance if:

  • You have assets
  • Your assets exceed your homeowner’s liability limits
  • You are a landlord
  • Your home has attractive nuisances like a pool or trampoline.

Do I need homeowners’ insurance and umbrella insurance?

Having both homeowner’s and umbrella insurance can be an excellent strategy for comprehensive protection. Homeowners insurance focuses on risks related to your home, such as fire, wind, storm, and theft. Umbrella insurance provides you with extended protection once your standard policies’ limits are met. Umbrella insurance also has a broader range of coverage, such as landlord liability, slander, libel, or defamation.

Life is unpredictable, and just one accident can lead to financial devastation. Make sure you are protected. Contact one of our experienced Avery Hall agents today at 410-742-5111 for a free consultation.


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