For condo owners, arguably, the most critical requirement is an insurance policy that protects them against financial losses from unforeseen damages to their units. The dedicated team at Multisurance in New Orleans, LA, can help elucidate the differences between homeowners and condominium insurance.
Define Condo Insurance
Condo owners require insurance coverage to protect not just the interior of their units but also their personal belongings. This differs from a homeowners’ insurance policy, which offers broader coverage. Homeowners are typically liable for all incidents occurring on their property. A standard homeowners’ insurance policy includes dwelling insurance coverage that protects the home, unattached garage structures, and other property structures from extreme weather conditions like fires, rainfall, hail, or ice storms. Like homeowners, condo owners can tailor their policy to include similar coverage that repairs all damage and replaces all personal items lost.
What is Condo Association Insurance Policy?
Most condominium owners maintain two separate insurance policies for their units: a personal condo insurance policy and a condo association insurance policy. While both protect your condo, a condo association insurance policy’s coverage is primarily for damages to the exterior. This includes the condo’s roof, siding, and common shared areas like walkways and backyard walls with other residents. It’s worth noting that you might have the ability to negotiate an extension of the association’s insurance coverage to include outside fixtures, interior walls, and ceilings, but it’s not guaranteed.
Loss Assessment Coverage
A savvy addition for condo owners is to include loss assessment coverage in their existing condo insurance policy. This offers protection against any personal payment for repairs that exceed the coverage limit of your condo association insurance policy. Once the association’s insurance policy reaches its limit, the owner first files a claim, and the loss assessment coverage is activated.
Condo owners always seek quality insurance coverage specifically tailored to meet their individual needs. The staff at Multisurance in New Orleans, LA is ready to help create a policy that provides lasting protection. Contact us to schedule an appointment today.
