What is condo insurance?
Condo insurance, also known as HO-6 insurance, is a policy designed to protect condo owners. It provides coverage for the interior of your unit, your personal belongings, and liability risks. Unlike homeowners insurance, it complements the condo association’s master policy, which typically covers the exterior and communal areas. Condo insurance helps ensure your individual unit and possessions are protected from unexpected events.
What does condo insurance cover?
A standard condo insurance policy includes coverage for the following:
Interior of Your Unit
Protects walls, floors, ceilings, and other interior features within your condo.
Personal Belongings
Covers your furniture, electronics, clothing, and more if they’re damaged or stolen.
Liability Protection
Offers financial protection if someone is injured inside your condo or if you accidentally cause damage to another unit or common area.
Loss of Use
Pays for temporary housing and related expenses if your condo is uninhabitable due to a covered disaster.
Assessments
May cover shared costs if the condo association needs to repair damage to common areas caused by a covered event.
What doesn’t condo insurance cover?
While condo insurance offers valuable protection, it does not cover everything. Exclusions typically include:
- Flood Damage: Like homeowners insurance, flood damage isn’t included and requires a separate flood insurance policy.
- Master Policy Coverage: Damage to the exterior of the building and shared spaces is usually covered by the condo association’s master policy.
- Wear and Tear: Routine maintenance and gradual wear are not covered.
- Earthquake Damage: (in Florida?)
- High-Value Items: Items like expensive jewelry or rare collectibles may need additional coverage through endorsements or riders.
What are the right questions to ask to find the best condo insurance?
When searching for the right condo insurance in Florida, asking the right questions can help you make an informed decision. Consider these questions:
- What does my condo association’s master policy cover, and where does my responsibility begin?
- What risks, like hurricanes or wind damage, are explicitly covered or excluded in my policy?
- Does the policy include coverage for assessments by the condo association?
- Do I need flood insurance for my condo?
- How much coverage do I need for my personal belongings and interior upgrades?
- What is the deductible for hurricane or wind-related damage?
- Are there any discounts available, such as for security systems or updated building codes?
