The investment in a condo, whether your first one or your tenth, is a big decision. You may be looking to relocate, purchase your first home or even downsize from a large home you no longer need. Condos are very different in terms of ownership and liability than traditional homes. In most cases, you now have a condo association to deal with in every aspect of your ownership. This can help to defray some of the costs of condo insurance. However, it is still wise for you to invest in learning about the very specific features of these policies.
Standard Property Coverage
A key component of any condo insurance policy is to provide property coverage. This protects your personal belongings like furniture, artwork, kitchen appliances, clothing and more. It can help to pay for costs related to repairs from fires, for example, happening within the building. It can also protect your assets from damage or theft.
You remain responsible for ensuring your property is safe for those who visit. While the common areas of the condo may not be a liability risk to you, you need bodily injury, property damage claims and litigation protection in nearly all cases that involve your unit.
Temporary Housing and Expenses
In some cases, you may experience a significant loss of use of your property. If this should occur, you'll appreciate having a condo insurance plan that covers temporary housing and expenses related to a new location.
Building Additions and Improvements and Loss Assessment Coverage
Building Additions, Alterations and Improvements is a very important part to your condo policy. It is intended to cover the improvements, such as new appliances, countertops, bookshelves and/or any alterations that tend to remain in the unit after you sell. It is important to note that the by-laws of your unit stipulate what the Association will pay and what you should insure. For instance, you might be buying a unit that is 10 years old w/ two previous owners. Typically, the Association’s building policy will only provide coverage for the building exactly as it was originally constructed and sold. Therefore, any improvements made by the previous owner(s), may become your responsibility to insure or self insure. It is recommended to have your attorney review the by-laws of your unit so you can decide on the proper limit for this coverage part.
Loss assessment insurance coverage helps to insure common areas of properties that are collectively owned by the members of a condo association. This coverage will help provide protection when a covered loss destroys common property and the association is assessing financial responsibilities to each unit owner. Limits vary so talk w/ your agent about your options.
In addition to these coverage options, you may also want to purchase additional insurance plans for high-value items you own, such as a coin collection or fine art piece. You may also want to cover yourself from higher levels of liability risk with umbrella insurance. Talk to your agent to learn about the key features of any condo insurance policy you select. This helps ensure you are well protected no matter what you are facing in your new location.
Get a quote today. Call Ten Eyck Group at (518) 464-0059 for more information on Albany condo insurance.