Condo ownership only includes the living space inside the condominium and parts of the condo building. This is unlike home ownership, which includes the house and the land it is built on. Consequently, the insurance needs of the two homeownership models are slightly different. Just like any other homeowner, a condo owner should have a homeowners insurance. However, condo insurance will only cover people and possessions within condo units whereas the insurance master policy will cover everything else.
Definition of Condo Insurance
Condo insurance only covers whatever is inside your condominium. In most cases, the insurance will cover:
- Your personal items and valuables against covered losses
- Your appliances
- The interior walls damage due to certain causes
- Liability protection when you are at fault after another person has an accident in your unit or when you’re sued.
- If you incur legal fees due to a lawsuit or you are responsible for property damage or another person’s injury, condo insurance will also protect you. A condo insurance policy will cover whatever condo association’s master policy will not.
Condo Association Master Policy
The two types of condo association master policy are
- An “all-in” condo master policy: It only covers fixtures in your condos like carpets, kitchen cabinets, plumbing, appliances, and wiring. For instance, in case of a fire outbreak, your condo community’s all-in policy will cover many elements within your unit. As a condominium owner, you enjoy a greater level of interior coverage from an all-in condo insurance master policy. Consequently, you will not need to buy much of your own condominium insurance
- A “bare walls-in” condo master policy: It covers every property in a condo community apart from anything contained within your unit. This means you have to look for another policy for your condo’s countertops, flooring, kitchen and bathroom fixtures among other items within your unit. It is advisable to review this policy to establish what your policy needs to cover. Sometimes it may even cover condominium’s electrical systems and plumbing.
In a given condo community, there are things that are better done by a group of owners than individual owners. Most condo communities have group insurance policies, that, like most of the other insurance options, have deductibles. However, in this case, the owners pay it as a group. All owners will share a condo community insurance master policy. In case the condo community’s buildings are destroyed by floods, wind or any other covered cause, the insurance master policy covers the repair cost.
Zawada Insurance Agency is an independent insurance agency that has been providing insurance products throughout Central Massachusetts and beyond since 1989. We are a second generation, family-owned firm that works for our clients and not the insurance firms. We will connect you with some of the top-rated Massachusetts insurance carriers to ensure you get the best services. Our quality insurance carriers, reliability, and quality of service make us stand out in a crowd of competitors.
For more information on condo insurance master cover, please contact us today.