Blanket insurance covers several different things under one policy. For example, depending on your policy, home insurance can cover contents within your home, such as jewellery or electronics. It may also cover several properties owned by the same person. Umbrella is additional insurance on top of that — it gives you access to more money for damages, and it covers more possible instances of liability that your basic home, personal liability, and auto insurance policy may not, like libel, slander, wrongful eviction, and incidents that occur overseas.   It also keeps premiums lower because you’re not taking out insurance on each separate thing you own, or for each activity you engage in. Instead, it tops up the insurance you already have — and then some.