My condo association has a master insurance policy. Why do I need my own policy?
The association’s policy only covers the common areas. The interior finish/structure of your unit, its contents, and the liability arising out of it are your responsibility. A Condo Unit Owners Policy, Form HO-6, is purchased by the unit owner to address this exposure.
How much does a Condo Unit Owners Insurance policy cost?
The cost of a Condo Unit Owners Policy is typically significantly lower than that of a Homeowners Insurance policy. This is partly because you are not insuring the roof or exterior walls. Most unit owners are very pleasantly surprised by how economical this coverage is.
What does a Condo Unit Owners Insurance policy cover?
Your typical Condo Unit Owners Insurance policy will provide coverage for:
- The Interior finish/structure of your unit (flooring, kitchen cabinets & counters, bathrooms, etc…)
- Your Contents or Personal Property inside your unit (TVs, Computers, Furniture)
- The Loss of Use or Additional Living Expenses as a result of a covered loss
- Liability arising out of ownership of the condo as defined by the policy
What determines the cost of my Condo Unit Owners Policy?
The cost of the policy varies depending on the location and characteristics of the condo building and unit, the coverage amounts selected, and the deductibles or coverage options requested. The cost is also impacted by the presence (or absence) of discount-generating features such as Fire/Burglar Alarms, Storm Shutters, and Sprinkler systems .
What is a Wind Mitigation Inspection?
This is an inspection to determine the Wind Mitigation features of the property, including storm shutters, roof, and type of construction.
What information will I need to get a quote?
Your agent will want to know the square footage of the unit, the number of stories, the number of units, and the year of construction of building. You will also be asked to select the amount of coverage that you need/want for Interior Structure and for Personal Belongings.
How quickly can I get a quote?
If all of the information needed to quote is available at the time you request a quote, you can typically get a quote immediately or, at the very latest, the same day.
I am renting my unit out, do I need Condo Unit Owners Insurance coverage?
Yes. You would probably transact the policy with less coverage for Contents if renting the unit out unfurnished and with the “Unit Owners Rental to Others” endorsement. The policy continues to offer the same coverage but only as it pertains to protecting your interests. The tenant would need to get Renters Insurance to protect theirs.
The above description of coverage is intended for informational purposes only. It does not constitute a legal representation of coverage. Please consult your actual policy for the terms and conditions applicable to your insurance contract.
