What is Condo (HO6) Insurance?

What does condo insurance cover?

Like homeowners insurance, HO-6 insurance safeguards against property losses and liability claims, except in cases where your condo association’s master policy provides coverage. Here are the standard condo insurance coverages:







Coverage type Definition

Dwelling

Definition
Pays to repair or replace everything in your unit from the drywall in if your property is damaged due to a covered loss.

Personal property

Definition
Pays to repair or replace your belongings, up to specified limits, and is never included under the master insurance policy for your condo association. Anything that isn’t attached to your condo is considered your personal property, including clothing, furniture, and electronics. Note that some condo insurers combine dwelling and personal property coverages.

Liability

Definition
If you’re legally responsible for someone else’s damages or injuries, personal liability provides coverage up to the limits of your HO6 policy. Liability coverage can also pay for medical bills resulting from an accident in your condo unit.

Loss of use

Definition
Loss of use coverage pays for additional living expenses above what you normally spend, including meals and hotel stays, up to your policy’s limits if you’re forced to move out of your condo while your unit is being repaired or rebuilt because of a covered incident.

Loss assessment

Definition
Loss assessment coverage can help if there’s an accident in a shared area of your condo property, such as pools, stairwells, or clubhouses. Normally, your association’s master policy provides coverage for these incidents, but if the amount of damage exceeds the master policy’s limits, you may be responsible for the difference along with other residents in your development. Condo policies typically provide $1,000 for loss assessment coverage, but you can often purchase an optional endorsement to increase the limit.

Commonly covered perils

Perils are events that can cause damage to your condo unit or personal property. Here are a few examples of perils typically covered under condo insurance policies:

  • Fire and lightning
  • Windstorms and hail
  • Theft and vandalism
  • Weight of ice, snow, and sleet

See more on covered perils.

What’s not covered under condo insurance?

Your HO6 insurance policy will have a list of coverage exclusions. The following are common examples of what’s not covered:

Condo insurance also won’t cover damage to shared areas of your condo complex, including any property your condo association owns. From your building’s stairwell to your development’s party center, your condo association’s master policy protects all of your complex’s common areas.

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