The convenience of a condo or co-op is tough to beat. Say goodbye to mowing the lawn, shoveling the sidewalk, and cleaning the gutters. But while you don’t have to worry about the outside chores, you still need to protect what’s inside your unit. The master policy purchased by the condo association or co-op corporation does not protect your personal items or the interior walls of your unit.
A condo / co-op policy helps protect your personal property from a variety of losses such as fire and theft. In addition, condominium policies include liability coverage for certain kinds of accidents, such as a neighbor slipping on a wet floor in the kitchen. They also protect the interior walls and fixtures (such as cabinets) of your unit.
Whats Included In A Personal Condo Policy
Just like a homeowners or tenants policy a condominium policy will cover your contents while on the premises, and if your contents have been temporarily removed from the premises. Sometimes this coverage can extended to contents being moved to another location owned by you, contents at your workplace, and contents owned by a parent or dependent residing in a nursing home.
This coverage protects your unit itself, so if the condo corporation has no insurance, its insurance is inadequate, or its not effective, your policy will respond. The loss could simply just be from a peril that was excluded on condo corporations policy, but is covered under your personal condo policy.
Protection compensates you for any upgrades you’ve put into your condominium, on top of what the building originally provided for you, up to the limit of the replacement value. For example, if your unit was originally finished with a medium-grade carpet valued at $5,000, and then you upgrade it to a high quality carpet valued at $10,000. The Improvements and Betterments protection will ensure you receive the full value of your new carpet in the event of a loss.
Loss Assessment coverage is an important feature of condominium insurance because you equally share in the responsibility with the other condo owners for the condominium building. That means that if there is a special assessment for your condominium building, all the condo owners have to split the cost of the assessment. The assessment could be triggered as a result of a property loss, liability loss, or to cover the condominium corporations deductible.
Additional living expenses will help you pay for reasonable and necessary expenses (like hotel and food costs) in the situation you are forced to leave your home following an insured peril (or risk) for a period of time
Liability insurance protects you for unintentionally injuring someone or damaging their property and have to pay damages (example: someone has a slip and fall on your walkway, breaks his/her leg and now cannot work for a period of time)
Voluntary Medical Payments coverage pays reasonable medical expenses in the year after an accident where somebody is accidentally injured on your property.Voluntary Property Damage coverage covers unintentional direct damage you cause to somebody’s property.