Things to consider when insuring your condo.
Association By-Laws. By-laws determine what building items you are responsible for insuring. Some by-laws make the unit owner responsible for insuring building items in their unit such as floor coverings, fixtures or wall surfaces.
Changes or Upgrades. You may be responsible for insuring changes or upgrades made to your unit. You may also be responsible for upgrades made to the unit by a prior owner. Therefore it is important that you review the by-laws to make sure you are carrying enough coverage on the building items in your unit.
Collectively Owned Property. As a unit owner you can be assessed by the association for losses involving collectively owned property. This could be due to limited or no coverage or large deductibles on the association policy. If the loss is covered under your policy, the loss assessment coverage can pay your share of the assessment.
Natural Disasters. Flood and earthquake damage is excluded from standard policies. Earthquake coverage can typically be added as an endorsement. Flood insurance can be obtained through the National Flood Insurance Program
Short or Long-term Renters. Typically, policies cover owner occupied residences. Your unit owner’s policy may not not cover online room or entire unit sharing/renting . Also, typically long term renters are not covered. Some of these exposures can be covered by endorsing your existing policy. Others may require a different policy. If you are planning to rent any portion of your condo you should contact your agent.