What is condo insurance? Isn’t my condo covered with condo association fees? If you own a condo in Marshall, MI, a flurry of condo insurance questions must be running through your mind. The good news is that Great Michigan Insurance is here to help you understand condo insurance in detail.
What is condo insurance?
Also known as HO6 insurance, condo insurance covers condominiums. While a condo association policy covers your condominium, this policy doesn’t cover your personal belongings and damages to the interior of your condo.
Is condo insurance mandatory?
Just like home insurance, condo insurance isn’t required by the state. However, if your condo is financed by a mortgage, your lender will insist you purchase condo insurance to protect the interior of your condo. Even when you have cleared your loan, you may still have to buy condo insurance since many condominium owners associations (COA) need it.
But isn’t my condo covered by condo association policy?
Its true COA protects your condo, but here are the areas that COA policy covers:
- Common areas: Your COA master policy covers damages to common areas like the lobby, playground, elevator, tennis courts, and the land outside the building. Besides, the policy covers injuries that occur to visitors in the common areas.
- Building exterior: If your condo’s exterior is damaged by hail, fire, and other perils, COA is likely to cover.
What does condo insurance cover?
Here is a breakdown of what an individual condo insurance covers:
- Personal property: Your condo insurance replaces personal assets like furniture and electronics when stolen or damaged by a covered peril.
- Dwelling protection: It covers damages to the interior of your house, including floors, cabinets, fixtures, and interior walls.
- Liability protection: It covers medical costs for injuries sustained by other people inside your condo. For instance, a visitor injuring their back after slipping on the floor inside your condo. Condo insurance also covers unfortunate incidents like property damage to others.
- Additional living expenses: It pays costs beyond your day-to-day living expenses (for instance, hotel meals and accommodation) when your condo becomes unlivable due to a covered loss.
Are you shopping for condo insurance in Marshall, MI? Please contact Great Michigan Insurance for a competitive quote.