Condo owners have the pleasure of owning their own living space, while sharing spaces such as the parking lot, grounds, hallways, and building exteriors with other tenants. Most people who live in condos ignore insurance since there is usually a condo association with insurance for the building. That is a mistake because the building’s policy covers the shared items and the building exterior. Your personal property and living area is not covered by the main policy. That means you need to purchase your own condo insurance policy.
Condo insurance is also known as HO-6. It provides liability coverage and coverage for loss of or damage to personal possessions. It might also cover upgrades made in the unit and damage to the interior walls and floors. This can help even if the main policy also covers these things, but you have to pay a portion. Other coverage includes additional living expenses, theft or vandalism, as well as fire or water damage.
Condo insurance does not cover damage from earthquakes, floods, or hurricanes. Basically, any natural disaster damage is not covered under this policy. You will need to purchase additional coverage to deal with any of those events. Make sure to inquire about claim-free discounts and a multi-policy discounts when searching for coverage.