Condo Insurance Quotes
Condo owners have different insurance needs from renters or homeowners. Condo associations have insurance policies, but these policies only cover the building, the common areas of the property, and liability for the association. For this reason, condo owners need an insurance policy that protects the interior of their unit and their personal property from losses. Below you will find everything you need to know before you purchase condo insurance.
Condo Association Insurance Policy
To understand what a condo owner's insurance policy covers, you first need to understand what the condo association insurance policy covers. Your condo association should carry an insurance policy that provides liability protection for accidents and injuries that occur in the common areas, coverage for the exterior of the building or buildings, and coverage for the general condo property. The insurance policy of the association does not cover the contents of your home, property damage that occurs inside your home, or liability claims if someone is injured inside your home.
Condo Insurance Coverage Basics
Your condo insurance will protect the contents and interior structure of your home. The policy will also provide liability coverage in the event that someone is injured inside your home. Commonly, insurers exclude flood and earthquake coverage from a standard condo insurance policy. Your policy may also exclude personal injury to the homeowner and business use for a home office. You should check with your insurer for the specifics of policy exclusions.
Condo Insurance: Additional Coverages
Some insurers allow you to purchase the following additional coverages to supplement your condo insurance policy:
- Replacement cost: Reimburses you for the full cost of replacing your damaged or stolen personal belongings rather than the depreciated value of the items. This coverage is more expensive but will allow you to purchase new-model replacements for your possessions.
- Personal property floater: If you have very valuable items, such as jewelry, furs, collections, etc., a standard condo insurance policy probably won't provide full protection for them. In this case, you might want to consider a personal property floater to increase your coverage limits for these items.
- Discounts: You can get many of the same discounts on condo insurance that are available for homeowner's insurance. For example, you might receive discounted premiums for smoke detectors, anti-theft alarms, and multiple policies.
- Flood & earthquake insurance: If you live in a flood zone or an area prone to earthquakes, you might consider adding these coverages to your policy.
Before You Purchase a Policy
Before purchasing condo insurance, review condo insurance tips from insurance experts. Also, check with your condo association to make sure you're getting the coverage you need:
- Learn what parts of the interior are your responsibility and what items are covered by the condo association.
- Estimate the cost to replace your personal belongings and purchase insurance for that amount.
- The master condo policy will not cover liability coverage for your unit, so make sure you purchase adequate liability protection ($300,000-$500,000 depending on your situation).
- You may have to pay for certain damages if your association has insufficient funds. Check to see if your condo insurance policy covers these expenses.
