What does condo insurance cover? Condo owners must distinguish between the association’s insurance policy and the individual unit owner’s policy, known as condo insurance.
All owners pay for the association’s insurance or master policy, which covers common areas of the building, such as the pool, gym, garage, facade, roof, elevators, and shared facilities like electrical or plumbing systems.
Conversely, condo insurance, also known as HO-6, is a specialized individual policy that protects apartment owners from damage to the structures of their units and personal property.
Typical condo insurance includes the following coverages:
Dwelling Coverage:
This protects the interior structure of your unit, including walls, ceilings, floors, and electrical and plumbing systems, from damage caused by vandalism, fires, water leaks, or domestic accidents.
Personal Property Coverage:
As the name suggests, it covers damage to personal property inside the unit, including appliances, furniture, and personal belongings. It protects them from covered risks such as fires, theft, vandalism, hurricanes, or water leaks.
Liability Coverage:
This coverage protects the unit owner in case of a third-party lawsuit resulting from an injury during a visit to their home. It helps cover legal expenses, medical bills for the injured person, and damages to a third party’s property accidentally caused by the policyholder. For example, if a bathtub overflows due to negligence and damages the neighbor’s ceiling below.
While condo insurance is not mandatory, owners who have purchased their home through a mortgage loan are required by their lender to have this protection. Nonetheless, it is advisable to have it. Continuing with the same example of the ceiling, if this happens to you and you lack condo insurance, you would have to repair and pay out of pocket for all the damage caused by the spilled water on the neighbor’s ceiling.
If you want to enhance your homeowner’s insurance, call Univista Insurance, and you’ll be satisfied. What does condo insurance cover?
Give us a call today for a comprehensive quote! (305) 267-7138. You can also get a free quote here.
