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Everything You Need to Know About Umbrella Insurance in Manitoba

August 21, 2020
Updated: January 7, 2024


Nobody imagines having a huge insurance claim filed against them, let alone a lawsuit. But every day, people get hurt, property gets damaged, and fingers get pointed.

And when an at-fault party is determined, that person is on the hook financially. For hundreds of thousands of dollars worth of legal, medical, liability, and other expenses.

If you were ever found to be at fault in a situation like this, your basic personal and property insurance would kick in to cover many of these expenses. But odds are, it wouldn’t cover them all.

Umbrella insurance jumps in when your basic coverage maxes out and fills expensive gaps. If a visitor falls on your icy sidewalk or a house fire damages your neighbour’s home, it could be the difference between paying a deductible and going into hundreds of thousands of dollars in debt.

Here’s everything you need to know about umbrella insurance in Manitoba.

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Personal Umbrella Insurance for Manitobans

Umbrella Insurance is a type of personal insurance that extends any liability insurance you already have in place. In other words, it’s extra liability coverage, which you can add to your existing policy.

What Does Personal Umbrella Insurance Cover?

Beyond the standard liability coverage you have in place, Personal Umbrella Insurance covers the expenses you’d have to pay a third party if you were sued for damages or injury, and found to be at fault. It also covers injury to other people and damage to other people’s possessions.

So for example, if your boat was stolen, taken for a joy ride, and left on the shore damaged, your property insurance—which includes basic liability coverage—would cover it.

But, if you were cruising with friends and got in an at-fault accident—and someone involved sued you—your property insurance wouldn’t be enough. It would still cover any damage to your boat, but you’d be on the hook for legal expenses and injury costs for that person.

Personal Property Insurance Covers:
  • Your home
  • Your car
  • Your watercraft
Personal Umbrella Insurance Covers:
  • Legal expenses if you’re sued and found at fault
  • Injury to others
  • Damage to others’ possessions

What Personal Umbrella Insurance Doesn’t Cover

This will vary by policy contract, but generally speaking, personal umbrella insurance does not cover:

  • Written contracts
  • Oral contracts
  • Intention acts
  • Criminal acts
  • Personal possessions

As the policyholder, Umbrella Insurance will never cover your own costs, and it does not protect your property (you’ll need property insurance for that). And, it won’t cover anything that isn’t included in your coverage, like criminal activity or exclusions listed in a policy.

Home Umbrella Insurance For Manitobans

Personal Umbrella Insurance for your home is additional liability coverage designed to added-on to your base property insurance plan.

What Home Umbrella Insurance Covers

Every policy is different, but typically Umbrella Insurance for your home will offer additional coverage for things like personal and bodily injury (including medical bills and loss of income) and property damage (if you happen to cause damage to someone else’s property or landscaping).

What Home Umbrella Insurance Doesn’t Cover

It doesn’t cover your personal property—that’s what you’ll need your base property insurance plan for! A personal property Umbrella Insurance policy also doesn’t cover business losses. (For anything related to your business, be sure you talk to one of our Business Insurance Consultants.)

Do I Need Personal Umbrella Insurance?

Umbrella insurance jumps in after your basic insurance coverage ends. So it’s a good idea to have it if you suspect that your existing personal or property insurance might not be enough.

For example, if someone was injured on your property and made a claim against you for $500,000—but your bodily injury liability coverage was for $350,000—your umbrella coverage would jump in and fill the gap, covering you for that extra $150,000.

Another example: say you had a fire on your property that extended to your neighbour and caused damage to their property, too. Your property insurance would cover damage to your property—but not theirs. So umbrella coverage would respond by paying the claim for the neighbour’s damage.

In either case, without umbrella insurance, you could be on the hook for a lot of money. So if you have the budget for it, it’s not a bad idea to add it on!

Umbrella Insurance vs Blanket Insurance for Homeowners

People often get confused between Umbrella Insurance Coverage for Homeowners and Blanket Insurance Coverage for Homeowners, so let’s start by clearing this up!

Blanket Insurance Coverage for Homeowners pays you. So if, as the insured policyholder, something unforeseen or unfortunate happens on your property, you’re covered and paid out.

Home Umbrella Insurance Coverage pays a third party. If you, the policyholder, are sued and found to be at fault, it helps you pay others for things that aren’t covered by your primary liability policy, like:

  • Damages or Injury Costs
  • Liability & Defense Costs
  • Liability & Defense Expenses

Umbrella Insurance FAQs

This is a common question, but no, you don’t! Even if you don’t have any assets, being held liable can lead to “wage garnishment” which means that you could be legally required to give a portion of your income to your creditor.


But, before you buy, remember that Umbrella Policies are meant to serve as back-up, picking up where your auto and homeowners insurance policies leave off, so make sure you have these in place first.


(And, because they’re designed to be met by your other policies first, know that Umbrella Policy deductibles are always high.)

Yes! We always recommend adding Umbrella Insurance because even if your existing policy offers a substantial amount of coverage, it will always have its limits. And, in cases where people are sued, courts frequently award damages that far exceed those limits, which is why some people choose to add this coverage.


Remember that your Umbrella Liability Insurance policy is extra coverage you can only access if you already have liability insurance in place. You can only use it once your primary liability policy limits are exhausted, or if they fall short of the damages you’re being sued for.

It’s hard to say for certain because costs vary by insurance company and policy. But as a ballpark, you can expect umbrella insurance coverage to run you between $150-$300 annually.

Ask Us Anything About Umbrella Insurance!

Think you may need umbrella insurance? The best thing to do is reach out.

As Insurance Consultants, we represent you—not the insurance companies. So it’s our job to find you the right coverage at the best price.