The master policy for the association usually only covers the exterior of the building and any common owned property. They don’t cover your interior unit and your stuff. You need to get your own “H06” condo homeowners policy.
You need “Coverage A – Dwelling” coverage as contained in the HO6 policy to cover the built-in features of your unit such as the kitchen cabinets, flooring, sheetrock, appliances, plumbing fixtures, and interior doors.
Lenders usually require that you purchase Coverage A limits of at least 20% of the appraised amount of your unit. This may or may not be enough coverage. Your agent needs to do a Replacement Cost Estimator to make sure you have enough coverage.
“Coverage C – Personal Property” is the coverage for your furniture, clothes, and other ordinary items.
Coverage for jewelry, artwork, and collectible items most often has very low limits set by your policy. Let your agent know what valuable items you own so they can structure your policy to cover these possessions.
The H06 policy also covers additional living cost you might incur if your unit becomes uninhabitable as a result of a covered loss. This could include hotel bills, rent for a temporary apartment, meals, and other cost associated with not being able to live in your home.
Liability coverage is also included. This protects you against potential lawsuits that could arise if someone gets hurt on your property. It may also cover lawsuits if you are found responsible for causing harm to others anywhere else.
Not all H06 policies are the same. There is plenty of variation in coverages and pricing between carriers. Allow your agent to learn your needs and check the best markets to find you the best coverage at the best price. *The content contained in this blog is for informational purposes only. It should not be considered insurance advice since every client's needs and circumstances are different.. Bergen Insurance Group, LLC makes no representation as to accuracy, completeness, currentness, suitability, or validity of any information on this site and will not be liable for any errors, omissions, or delays in this information or any losses, injuries, or damages arising from its display or use. All statements represent the sole opinion of the author and is provided on an as-is basis. For an actual description of all coverages, terms and conditions, refer to your insurance policy.