A kitchen fire. A guest’s slip-and-fall injury. A burst pipe. Condo ownership comes with a number of risks, and all of them can take a toll on your finances without the proper protection. That’s why Muller Insurance advises clients to fully understand the insurance policies available to protect themselves in these circumstances. But if you have condo insurance, do you need additional coverage? Here, we’ll break down the differences between condo insurance and umbrella liability insurance policies to help you get the coverage you need.What Does My Condo Insurance Cover? Just like a homeowner’s insurance policy, condo insurance covers your condo and the contents within. This means that in the event of a fire, natural disaster, or other damage-causing events, your policy will cover the condo’s structural elements, as well as your furniture, clothing, electronics, and more. Additionally, your condo policy covers another kind of risk: liability.What does liability mean? When people enter your home, you assume responsibility for their safety. This means that if a friend slips on a loose patio tile, you are responsible for the cost of their medical treatment and related expenses. Yet while your condo policy will protect you by covering these costs, it’s important to understand how much liability coverage you really have. If you are sued for an amount that exceeds it, you’ll have to pay the difference out of pocket.What Do Umbrella Policies Cover? Umbrella insurance picks up where your condo liability coverage ends. But is this coverage really necessary? Like many people, you may assume you’ll never be sued. Unfortunately, lawsuits are more likely than you may imagine, and the amount awarded will be based on what a judge or jury considers appropriate for the plaintiff’s injuries, not your ability to pay or insurance coverage.That’s where umbrella insurance comes in. These flexible policies cover you for liability beyond the limits of your condo insurance, as well as your auto insurance, so you can rest assured that you won’t have to use your savings or retirement funds, sell your home, or deplete future earnings to pay the costs of a judgment against you. Your umbrella policy can also cover additional properties, watercraft, and individuals who reside with you, including family members and friends. In general, an umbrella policy is an investment not just in your financial security, but also your peace of mind.Getting the Right CoverageSo how can you make sure you have the right coverage? It’s important to work with a trusted insurance agency to get a clear picture of your risk and the level of coverage you require. A number of factors will be taken into consideration, including:Your family incomeProperties with increased risk, such as waterfront condos and those with poolsOwnership of luxury vehicles, watercraft, and morePet ownershipYour personal activities, such as public service, hobbies, and board membershipWith all of this information in mind, an insurance agent can recommend the best coverage for your needs to ensure that you, your loved ones, and your property are protected.Learn More about Liability Insurance PoliciesWith more than 100 years of service in Hoboken, New Jersey and the surrounding areas, Muller Insurance is committed to protecting our clients against financial loss due to liability, property damage, and more. Contact us today for more information about condo and umbrella insurance policies, or request a free quote online. Have additional questions? Call 201-659-2403 to speak with a representative.