Condominium Insurance

Condominiums and townhouses have special insurance needs.  As an Independent Agent, Ocala Insurance has the expertise to determine the best coverage for your unit, be it your home or second home! Special policies for condominium owners, known as form HO-6, will provide the liability and personal property protection a condominium owner needs.

The Condo Association’s insurance policy (often called “master” policy) is sometimes responsible for all building items and fixtures including those located inside your unit. Such items may include floor coverings, kitchen and bathroom fixtures, built-in cabinets and counters, appliances and equipment. In this case, you are only responsible for insuring your personal property such as furniture, electronics, and clothing. In addition to covering the personal property, a condo owner also needs liability coverage. The liability portion of the policy would cover injures or damage to people or property that the condo owner would be liable for.

Below is a checklist of the top questions to consider when choosing a condominium insurance policy:

 

Review your Master Deed

The condo association expects specific ownership and insurance responsibilities, unique for each property.

Almost all associations have a master policy insurance that covers you for the actual building structure and common elements such as a swimming pool or tennis court owned by all unit owners. The association documents and the master policy spell out very specifically where common areas end and where your unit starts. In some cases, for example, your unit may start inside the wallboard. In others, the wallboard may be considered part of your unit.

Verify broad water damage coverage

Be sure that you are covered in the costly event of water damage due to plumbing or leakage issues.

Check for blanket coverage

This is to protect you against situations where other condo owners may not have adequate coverage

Personal Property Coverage

Do you have expensive personal items such as jewelry or furs that you may need additional coverage?

Are you renting out your condo?

If so, your insurance changes. For example, once your condo is made available for rent you lose coverage for your personal property. This means items like furniture, electronics and decorations are no longer insured. Since condos often are rented furnished, this is a large gap that must be addressed before the damage happens. Coverage is also eliminated for appurtenant structures—such as a detached garage or dock—if damaged once the condo is rented or made available for rent.

Renting your condo also eliminates the personal liability coverage under your condo insurance policy. This means if someone renting your condo injures someone else or their property and you are brought into the lawsuit your condo policy will not pay to defend you.

Once your condo is made available for rent you lose coverage for your personal property. This means items like furniture, electronics and decorations are no longer insured. Since condos often are rented furnished, this is a large gap that must be addressed before the damage happens. Coverage is also eliminated for appurtenant structures—such as a detached garage or dock—if damaged once the condo is rented or made available for rent.

Renting your condo also eliminates the personal liability coverage under your condo insurance policy. This means if someone renting your condo injures someone else or their property and you are brought into the lawsuit your condo policy will not pay to defend you.

Extra Coverage with an Umbrella Policy

Condo insurance coverage from Ocala Insurance supplemented with personal umbrella liability insurance adds broader protection at an affordable price.