What is condo insurance?
Condominiums occupy a special category in real estate. They're not apartments. But they're not houses. So it's no surprise they have their own unique insurance, too. Unlike the homeowners association's (HOA) policy, which comes with your unit, condo insurance is something separate. Also known as H06 insurance, condo insurance works with your HOA to make sure you're protected.
What condo insurance covers
There are four general condo insurance coverages: personal property, personal liability, damage to unit structure, and additional living expenses. Many plans bundle all of these coverages into one comprehensive insurance policy.
1. Personal property
Condo insurance can help replace stolen or lost things in a covered incident (like a fire). Your stuff can even be protected on the go.
2. Personal liability
If a guest is injured inside your unit, condo insurance helps pay for their medical expenses and protects you financially.
3. Damage to unit structure
In a condo you OWN everything inside your unit (unlike an apartment) for instance, the carpeting, ceilings, and countertops. Condo insurance helps insure them.
4. Additional living expenses
If your condo is damaged and unlivable, condo insurance helps cover living expenses while repairs are made.
See what else condo insurance covers.
How to save on condo insurance
Condo-dwellers deserve to save on insurance, too. Here are a few ways you could score some savings:
Combine multiple policies
Loyalty pays. For example, buying car and condo insurance from the same insurance company could earn you a discount.
Boost safety features
Installing a security system and smoke detectors are obvious ways keep your home safe. But they can also save you money.
Pay in full, get rewarded
Some insurers will give you a discount for paying your premium all at once. Less hassle for you and them.
See more condo insurance discounts.
How much does condo insurance cost?
Condo insurance rates vary depending on many factors including: how much it would cost to rebuild your unit, the condition and age of your condo, and your location. But great news! Most insurance companies offer discounts and savings to help make condo insurance affordable.
Does an HOA need insurance?
Your homeowners association (HOA) likely has insurance that covers general risk in your building. This condo policy is maintained through HOA fees that the collective condo owners pay. Basically everyone pays a little to insure the community.
Make sure you ask questions and understand the HOA insurance policy. It helps to know exactly what to expect of your HOA.
Get more on insurance (without the jargon).