For many folks, owning a condo offers the best of two worlds; one is responsible for much less structure or outdoor space upkeep and maintenance and yet one still enjoys more space and amenities than a standard apartment, not to mention the pride of home ownership. As a condo is indeed classified as real estate, having insurance is required and, of course, mandated by lenders. The homeowners association or HOA, generally offers homeowners standard insurance. This, however, can be quite deficient in the event of some loss and in order to obtain additional coverage, protection and the ensuing priceless peace of mind, separate condo insurance is highly recommended by insurance professionals.
Condo insurance is what protects your property and, in this regard, is much like one’s normal homeowner’s insurance. Due to the fact that condos are in a different classification than a standalone or a semi-detached home, the aspects of condominium insurance is unique.
Condominium insurance is designed specifically for owners of condo units. Not all of these kinds of insurance policies are fully comprehensive, so it is vital that a condo owner be familiarized with the various kinds of coverage. Condo associations will generally offer a standard insurance policy that will handle the bare bone basics. Thankfully, there’s also separate coverage available that a condo owner can purchase that provides more extensive and comprehensive protection.
Damage or loss occurring in the general or communal areas of the condominium is usually covered by the HOA’s insurance policy. Community features and amenities, like the gym or a sunning area, the exterior walls of each condo, etc., these are all protected under the HOA policy usually. It can cover some liability claims if someone is hurt in one of these general areas. However, any damage or loss that occurs to or in the interior of your condo and to your personal property within the condo walls are normally only covered by one of these individual insurance policies that you as the owner can purchase for extra needed protection. Several insurance companies offer policies that include theft, weather-related damage, and in-unit accidents coverage.
Individual condo coverage protects the condo interior as well as one’s personal property that is within the condo.
HOA coverage is designed for the shared or communal areas of the condominium, as well as exterior walls of the units.
Condo owners are offered the choice of general or more detailed and comprehensive protection of their units. If you decide to purchase this individual coverage, you will be amply rewarded with peace of mind in knowing that your condo’s interior and the personal property within is properly and fully protected.