Condo Insurance Policy

For most of us, our home will be the largest single investment we will ever make. Whether we build a home, buy a house, or rent a condo, we will never invest in anything the way we invest in our place of residence. With that in mind finding the right insurance is critical to protecting the things we care about. In terms of this insurance, homeowners insurance and a condo insurance policy have a lot in common. Both are critical to protecting our most personal and valuable assets.

Condo Insurance Policy and Association Responsibilities

One of the benefits of living in a condo community, when it comes to the condo insurance policy, is that your association often takes some or all of the responsibility to make sure your property is insured. To make it most efficient and beneficial to everyone involved, the condo association often pays for one policy that covers all of the existing condos in the privately-owned community. Typically speaking, condo associations are fairly straightforward about how they handle their condo insurance policy. They insure the basic building itself, leaving you with the responsibility of covering your own possessions, (anything within the building itself, generally). Another way of saying it is that they cover everything that they brought to the equation – literally the walls, floors, pool – and leave you to cover everything you brought with you. This means that, though the association picks up part of the condo insurance policy, you should not consider yourself “off the hook” when it comes to finding the right insurance coverage for your home. If you do not purchase the necessary additional insurance, you could find yourself at a loss if something should happen.

Condo Insurance Policy and What It Covers

Typically speaking, the condo insurance policy covers a basic list of things, including: fire, lighting damage, ice, snow, sleet, theft, explosion, smoke damage, freezing, vandalism, and several other similar events. Notice, however, that these events, for the most part, are a direct reference to the exterior of your condo and not the interior contents. It remains your responsibility to make sure the items inside your home are sufficiently covered by insurance.

Condos have different insurance policies and needs than the typical home owners insurance. And, in comparison to the renter’s insurance, condo owners typically have more to insure. Condo owners need to consider personal property insurance and liability coverage. Typically speaking, condo associations are happy to help guide condo owners through the decisions that need to be made. A good place to start is asking neighboring condo owners what insurance they use and how they arrived at the decision.

Final Considerations for Choosing a Condo Insurance Policy

Important questions to ask when choosing the right condo insurance policy include: 1) What are your expected responsibilities with regard to insurance within your condo association? Are these items in writing? 2) Who is responsible to make sure water damage and sever back-ups are covered? (This is often overlooked.) 3) Does your condo insurance, or your association’s insurance, cover against other condos who may not adequately cover their condos? 4) Are your personal items within the condo itself covered sufficiently? Once you have adequately determined what you need, as well as discussed the issue with those closest to you, it is important to speak to a representative who can answer your questions and help guide you through the insurance maze. Taking time to go the extra mile and learn about your condo insurance policy could save you time and money as well as adequately protect those closest to you. Enter your zip code at the top of this page to start your search and receive your free health insurance quote today.