Condo Insurance FAQ

• Q: What are the types of condo insurance that I may be requiring?
  A: You will require the following:
  
  
  1. Your own insurance for the coverage of personal possession
  2. A master policy provided by the condo board
  3. Check out for the unit assessment that covers protection for the owners.
  4. Water back-up cover for the damage due to water utility damage
  5. Umbrella liability for broader coverage and liability protection
  6. Floater coverage for all the expensive articles and collectibles
  
  
• Q: Will I need a title insurance if buy a condominium?
  A: Yes, you should think of purchasing the owners title insurance policy. This policy will provide you protection as long as you are the owner of the property. You will get protection against the following if you possess title insurance for your condo -
  
  
  1. Liens for all the unpaid taxes
  2. Forgery, if any by the previous seller
  3. In case, any mistakes in the title document, while recording
  
  
• Q: The defect in my tub damaged the ceiling of the condo below because of the water overflow, will my insurance cover for this damage?
  A: It mostly depends on the insurance policy, who knows your neighbor may be already having the policy for such a circumstance. At times, the master-policy also covers the policy for such damages, in case, the other insurance company blames you for your negligence, you may just have to turn towards your own insurance company.



• Q: There is a master policy of my condo association. Are there any other insurance that I need?
  A: Since you do not own the entire building, it is advisable that you add the special form of insurance policy designed for the condominium owners; it is the HO-6 form. There are certain perils that are named in the policy against which your home is given protection.



• Q: From where can I get condominium insurance?
  A: To find the best price and coverage I will advise you to look for an independent insurance agent in your area. Many agents work independently for various insurance companies. They can be your best guide in suggesting the right policy.
  However, you must make the right choice before select the right person.



• Q: How much condo insurance coverage will I need?
  A: If you own a condo then there are two things that you need to keep in mind:
  
  
  1. Your condo association possesses a master insurance policy, which covers the external building structure, the roofs, and all the common areas.
  2. The master policy will not cover for the damage to your unit or the personal belongings.
  
  
• Q: What are the types of condo insurance coverage?
  A: There are five basic types of coverages.
  1. Coverage A - Coverage for Dwelling
  2. Coverage C - Coverage for Personal Property
  3. Coverage D - Coverage for Loss of Use
  4. Coverage E - Coverage for Personal Liability
  5. Coverage F - Coverage for Medical Payments
  
  
  
• Q: How can I know if I need more condominium coverage?
  A: Your agent is your anytime assistant. Check out with your agent each time you remodel your home. Also, do not forget to consult when you make changes in your personal front. For example, if you plan to set up a home-based business or plan to buy jewelry and other valuable stuff.