Condo Insurance

<b>Condo Insurance: Expectations vs. Reality</b>

Condo Insurance: Expectations vs. Reality

Millions of Americans make the important decision to buy or upgrade their condo insurance policy every year. However, deciding on the best coverage for your policy without the help of a licensed insurance expert can be a challenge.

The good news is — you don't have to figure it out alone! There are a wide variety of insurance coverage options that apply to individual situations. We answer a few of the most commonly asked questions about condo insurance below.

What Does Condo Insurance Cover?

The number one question asked by prospective condo renters and owners is - What does a condo insurance policy typically cover? Condo owners purchase condominium insurance to protect their personal property and their unit. According to insurance experts, typical condo insurance policies cover certain damages to the condo itself.

Insurance policies can also cover belongings that are lost, stolen, or damaged. Some policies even cover damage caused by natural disasters. Talk to a licensed insurance agent about covering the things in your life that matter the most to you. An agent can help you create a customized condo insurance policy that covers your treasured belongings.

How Much Condo Insurance Should I Have?

New condo owners just starting out aren't sure how much insurance they should have on their condo insurance policy. The amount of condo insurance you need varies from family to family and depends on several personal factors. For example, do you want coverage for the condo unit itself, your personal belongings, pets, etc?

Most mortgage lenders require condominium owners to have condo insurance coverage that is at least 20% of the value of the unit. Start your condo insurance estimate with a minimum of 20%. Talk to a licensed insurance agent to find the best policy to meet your needs.

What Type of Coverage Do I need if I Rent Out My Condo?

Vacation rental services and home-sharing services like Airbnb make it possible for condo owners and homeowners to make money renting out their property. If you're thinking about renting out your property using a service like Airbnb (or renting out your condo when you're away for extended periods), it's important to make sure you're covered in the event of an accident.

One option for people renting out their condos is adding personal liability coverage on your policy. Personal liability coverage can help you pay for legal expenses, medical expenses, and damages if someone is injured on your property.

Below are additional examples of condo insurance coverage available to condominium owners. Keep in mind that coverage types and coverage amounts will vary by state. Each household has its own unique circumstances that may require different coverages.

Types of Condo Insurance

This list gives people who are looking for condo insurance coverage a brief introduction to the types of insurance available. It's important to remember that different insurance providers offer different options. This list is not comprehensive.

Building Property Protection - Can cover repairs to your condo with covered damages. This coverage typically helps pay for the interior unit structure and any other fixtures attached to the unit. Building protection is needed to cover accidents and damages that occur from natural disasters.

Personal Property Coverage - Helps to replace your belongings in the event of theft or damage. This includes personal items like electronics, appliances, and furniture. Personal property can include everyday items like sporting goods, laptops, computers. It can even include your favorite appliances and clothes.

Condo Insurance H06 - Another option for condo insurance that can help guard you against liability claims. Condo insurance H06 can also contribute to payments for damage to your unit, damage or theft of your belongings. In some cases, this insurance type can also cover additional living expenses if your condo becomes temporarily unlivable. This all-inclusive coverage option is normally the preferred option of most mortgage lenders.

The amount of coverage included in your policy will vary depending on your location and the types of coverage you choose.

Central Sequoia Insurance and Financial Services can help you choose the condo insurance policy that fits your lifestyle. They can help you protect what's important in your life.

Contact an agent to learn more about condo insurance today!