A lot of first-time condo buyers shopping for condo insurance at Agape Insurance Partners, Inc. have questions about just what they'll be insuring. They're not sure how it jives with the condo association's insurance policy and where their neighbor's condo owner’s insurance comes into play. Do all of them overlap or do they meet?
The Boundaries of Condo Insurance
The simplest way to explain condo owner's insurance is to turn it inside out. Because condos exist side by side, the insurance policy has to take shared walls into account, and if they are multi-story condos, there's also the fact that one unit's floor is another unit's ceiling. We tell them to look at their policy in terms of the ceiling studs, overhead, the floorboards beneath their feet, and the walls surrounding them.
Their own condo owner's policy will cover everything within those boundaries. Everything on the other side of the common walls will be covered by the policies of their neighbors on either side of them. The building's structure, roof, hallways, common areas, and the pool, exercise room, and community clubhouse. if the condo has these, falls under the aegis of the condo association's insurance policy.
The Particulars of Condo Insurance
If you were previously purchasing renter's insurance from us, we explain that unlike your rental apartment, you now own things like the kitchen cabinets, bathroom fixtures, sinks, and stoves, so these will be covered as well. Their policy will also:
- Provides what is called loss assessment coverage. Which directly speaking means, should the roof of the condo building suffer damage in high winds that affect our lives in Arizona from time to time, the condo association will assign or assess each condo owner a portion of the deductible on their policy. The condo owner's policy will cover his or her assessment.
- Covers belongings within the condo unit such as clothing, appliances, electronics, toys, and furniture, as well as outdoor personal property like patio furniture as long as it falls within the amount the owner specified in her policy.
- It will pay liability costs should a visitor be injured in the condo and sues the owner for compensation. It also pays for any legal bills he may incur in this matter.
- Covers medical payments for anyone injured in the unit.
- Pays for the owner's temporary living quarters should a covered loss render the condo unit uninhabitable.
If you are purchasing a condo in Arizona, we invite you to drop in and discuss your specific needs with any one of us at Agape Insurance Partners, Inc. We've helped countless new owners like you and can answer your questions. Contact our office to get a quote.