One of the biggest investments that someone will ever make comes when they purchase a home. While buying a single family property is an ideal option for some people, for others getting a condo is a good option. When you have a condo you will enjoy the various benefits of homeownership without as much maintenance obligations. Further, many condo owners enjoy on site amenities including security, public gathering spaces or even a pool.
If you do decide to purchase a condo, protecting it and your investment as well as possible is very important. A great way to do this is by getting a condo insurance plan. When looking for a complete guide condo insurance cover plans will include several forms of coverage that can protect you and your most valuable asset.
Condo Liability Insurance Protection
When wondering what does condo insurance cover, one of the most important forms of coverage that you receive is liability insurance coverage. With a liability insurance plan, you will receive personal liability coverage to offset damages that could occur in your home. A liability insurance plan is typically broken down into a couple different parts.
Building Property Protection
In a condo development, there are often many condo units that are placed on top of each other on different floors. Due to this, there is always a chance that your condo could incur a leak or another issues that causes damage to someone else’s home or the building common areas. With a condo insurance plan, you will receive the coverage needed to offset this risk as your plan will cover damages that are caused.
Guest Medical Coverage
When you have a guest over to your property, you are going to be taking on some level of responsibility for them. If they are hurt or injured while in your home, you could be held liable. Your condo insurance plan will include a liability insurance provision that can help to offset this risk.
Condo Property Protection
When wondering what is condo insurance, another important form of coverage that should be considered is property protection. Your condo is a major asset that you need to cover as well as you can. The property protection component of your insurance plan is broken into a few different segments.
In most situations, a condo owner will have the exterior elements of the building covered by the association’s insurance policy. This will then be paid through monthly association fees.
However, you will still need to get an insurance plan that will protect everything that is inside of the walls. If there is ever afire or other peril that causes damage, your insurance plan will give the coverage to repair or replace your interior, which can include interior walls,flooring, major appliances and other items that come with the condo.
Personal Asset Protection
Anyone that is moving into a new condo will also want to have coverage for their personal belongings. Some of the assets that can be covered by this will include your clothing, furniture, and other items that you own. This will be helpful if you are ever a victim of a fire or theft.
Normally, your condo insurance plan will have a reasonable limit for personal assets. However, if you have belongings that are valuable and in excess of this plan you will need to get an additional rider to the policy. Some common items that may require a policy rider include jewelry, valuable art or other collectibles.
Additional Optional Coverage
Those that are wondering what does condo insurance cover will have other forms of insurance to consider as well. For condo owners, a loss assessment coverage can be a good option. When you have this insurance provision it could cover your assessment dues if there is ever damage to the property that requires owners to pay a special assessment. Depending on where your condo is located, you may need to get an additional flood insurance plan as well on top of the base condo insurance plan.
For those that are wondering what does condo insurance cover, a typical plan includes several important forms of insurance coverage that can help to protect your most valuable asset. These types of coverage ultimately help to protect other owners in your condo development as well and can protect a mortgage lender’s collateral. Due to this, most people that own a condo will be required to carry a full condo insurance plan at all times.