Condo insurance is an insurance policy for people who own or live in condos. Usually, the Condo Association carries its own insurance policy. However, their policy will only cover some things. Condo Association insurance mostly covers incidents that occur outside of the buildings and liability issues for the owners. Private condo policies cover a wealth of other incidents and occurrences that can harm the unit owner or dweller.
What Condo Insurance Covers
Private condo coverage pays for a variety of incidents. One incident that this type of insurance covers is theft. The policy will cover the person’s personal belongings if someone steals them. Such a policy may cover fire and water damages, as well. Other types of damages that a personal insurance policy may cover include vandalism and smoke damage. Furthermore, windstorms and hailstorms may qualify for coverage.
How Condo Policies Work
The first step a condo owner would want to take is asking for a quote from a local provider. Providers have varying fees and different levels of coverage. Additionally, each state may have different laws for the items and incidents that may be covered under the insurance policies. An insurance company will offer a quote to the prospective policyholder. If that person chooses to purchase a policy, then he or she will pay a monthly fee to maintain it.
The policyholder will notify the insurance company of damage that occurs on the property. The person will most likely have to produce evidence of the damage. The evidence may be in the form of pictures, police reports, receipts and the like. The insurance company will then investigate the occurrence. The company will then pay the agreed amount to cover the damages.
Persons who own condos can purchase policies to protect them if their tenants do not pay rent. They can also purchase coverage for tenant property destruction. Purchasing an individual policy for a condominium is a wise move for any person who lives in one or owns one. It will give the individual a peace of mind about the property and the investment involved in maintaining it.