However, many homeowners overlook or forget they still need coverage for their personal items and other related coverages commonly excluded from a standard condominium association policy. It is always a good idea to fax the disclosure to your insurance agent for an annual review of your personal policies.
The most important coverages for condo owners are:
Personal Liability – Pays damages that you are legally obligated to pay because of
bodily injury or property damage resulting from an occurrence.
Umbrella Liability - Additional liability coverage, available through your automobile
policy. This policy is usually written through your auto policy agent.
Personal Property – Covers moveable items, such as furniture, clothes, dishes, appliances, computers, etc., as well as any upgrades or improvements you have made since purchasing the unit, including countertops, cabinets and flooring.
Building Property (betterment and improvements) – Covers interior improvements. Be sure to check with your management company to see what exclusions may exist on your master policy, such as floor and wall coverings. It is also a good idea to advise your personal carrier of the master policy deductible -- it may be the unit owner’s responsibility to pay for that! Many carriers will cover the HOA policy deductible under dwelling coverage. This is an important gap to close!
Loss of Use – Helps with necessary increase of living expenses if you cannot stay in the condo due to a covered loss.
Guest Medical – Will pay reasonable charges for medical, surgical, x-ray, dental, etc. resulting from an occurrence on your property.
Loss Assessment – Pays for losses in common areas of the association that exceed master policies’ coverage which result in a special assessment to all unit owners equally.
Jewelry & Art – High-value jewelry and/or collectibles should be covered under a
“scheduled or non scheduled floater”.