Harvest News

Condo Insurance, part 1: More Than Just Contents

Condo Insurance, part 1: More Than Just Contents

Many condo owners focus on their contents or belongings when they come to us for condo insurance. However, contents insurance is only one of many facets of a condo insurance package. Here are some other things that are included:

Personal liability coverage – If you were to accidentally cause damage to the building, e.g. leaving a pot on the stove and causing a fire, you may be called upon to pay for the damage you caused. Liability can respond to such damages.

Condo Contingent coverage – Condo Contingent coverage provides coverage on your unit if the condo corporation has no insurance, or its insurance is inadequate or not effective. Choosing an adequate limit of contingent coverage gives you a backup plan for replacing your own suite.

Unit Improvements and Betterments – When you have had upgrades in your condo unit that are over and above what is considered a standard unit, or if updates have taken place prior to you buying the unit, you are responsible to insure these. If a loss were to take place where the condo building was being rebuilt, the condo corporation would only be required to rebuild a suite for you with their standard unit fixtures. If you had upgrades in your unit, your own insurance would need to pay for these. Unit Improvements and Betterments coverage is intended to cover this.

Loss Assessment Coverage – This pays your share of any “special assessment” because of damage to common property, or a liability claim, caused by a peril insured by your policy. Also, if there is a loss on your common property where the condo corporation makes a claim on their own policy, condo unit owners are sometimes required to pay for the deductible together. Condo corporations sometimes have quite a large deductible and they divide it between all the unit owners. This is something your own condo policy can pay for, as well, if the loss is something that your policy would cover.

Additional Living Expense – This pays for alternate accommodations during repairs from a covered insurance claim.

Contact us to discuss your condo insurance needs!