Condo Insurance Overview
Condo insurance is different than homeowner’s insurance. Where your home will have its own policy, your condo insurance policy works in conjunction with your condo association’s master insurance policy.
Each association is different; therefore, the needs of each condo owner are unique and require an expert to help you decide what kinds of coverage you will need. Our account managers are well versed in the coverage requirements of condos, and take pride in helping you navigate the confusing world of coverage, finding exactly what you need.
Condo Insurance Key Facts
- Your condo master insurance policy only covers your condo complex, your building structure, and sometimes, the exterior of your unit.
- Your master policy may not cover any damages or repairs within your unit.
- If you have guests over your condo, personal liability protection will cover your legal responsibility for any accidents that occur to people or property caused by you, a member of your family or your pets.(maybe include the worldwide piece?)
Useful Information to Have on Hand
- Your current condo insurance policy (if you have one)
- Approximate year your condo was built
- Number of units in your building
- Estimated value of your personal property
- Primary material on outside walls
- Any home safety devices you have (fire extinguishers, smoke alarms, dead bolts, etc.)
Frequently Asked Questions
Doesn’t the association cover me?
The association will dictate limits of what the master insurance will cover and rarely, if ever, cover your personal contents. The master insurance stops where the condo documents state your individual ownership of the structure begins. Additionally, an individual policy will take care of your personal liability, as well as extra expenses that may be incurred at the time of loss.
The association is suggesting I get loss assessment coverage, what is that?
Loss assessment covers losses assessed to the unit owner that the master insurance did not cover in some way. In other words, this coverage can protect you from large fees when losses occur to the building and common areas and the cost to repair is greater than the coverage limits on the condo association’s master policy.
They want me to cover the deductible in the master policy, how do I do that? Why?
Dwelling coverage should take care of this. We recommend reviewing the master insurance for limits and deductibles when deciding what to carry for the dwelling limit, then setting that limit to meet what the master insurance doesn’t cover. Should you have a loss to your unit alone that the master insurance will respond to, you would be solely responsible for the master policy deductible. Often that is $10,000 or more.
What does a typical policy cover?
A typical condo policy covers your personal contents inside your condo as well as liability and medical payments. Each policy is fine-tuned to your condo association master policy, but it will often also cover loss of use should you have to relocate due to repairs.