Condo ownership involves a unique set of insurance needs compared to other forms of homeownership. This is because, unlike traditional homeownership, condo owners typically share the responsibility for maintaining common areas with other owners in their condo association. To ensure that everyone is protected in the event of an accident or disaster, there are several essential condo insurance policies that should be considered for your association.
But first, let us define what condo insurance is.
Condo insurance is a collection of coverage options that can offer liability protection as well as financial security for a condo owner’s individual unit and possessions. Your HOA may require condo insurance, but it’s a good idea to get it even if yours doesn’t.
Some of the Most Essential Condo Insurance Policies
Additional Living Expenses
For example, the cost of lodging in a hotel or other temporary housing can pile up quickly in the event of a covered loss, and supplementary living expenses coverage can help offset those costs. Condominium owners who suffer damage from an event like a fire may need to evacuate their units during repairs or renovations, making this insurance a necessity. Coverage amounts are established by the policy limitations selected by the owner.
Fidelity Liability
As a result of staff theft or misappropriation of cash, a condo association may incur financial damages. The costs of defending yourself in court against theft claims, as well as any damages the court may impose, might be covered by this insurance. Coverage amounts are established by the policy limitations selected by the owner.
Interior Walls
When the walls are covered, condominium interiors are more protected from disasters like fire and high winds. This type of insurance may also pay for certain improvements that a condo owner has made to their property. Coverage amounts are established by the policy limitations selected by the owner.
Loss of Assessment Coverage
If the condo association has to pass an assessment due to a major loss that impacts the entire complex, a loss of assessment will protect the owners financially. Legal expenditures to defend against such claims and any other damages awarded by the court can be covered by this insurance. Coverage amounts are established by the policy limitations selected by the owner.
Medical Payments Coverage
In the event that a visitor or guest sustains an injury while on the condo premises, medical payments coverage can help pay for their related medical expenses. With this insurance, you can rest easy knowing that any medical expenses incurred as a result of an accident at the condo will be covered. Coverage amounts are established by the policy limitations selected by the owner.
Officer’s and Director’s Liability
This liability insurance financially protects the condo association if it is found legally accountable for an action or decision taken by the board of directors. Legal fees to defend against such claims and any damages awarded by the court can be covered by this insurance. Coverage amounts are established by the policy limitations selected by the owner.
Personal Liability Coverage
If a condo owner is found legally responsible for injuries or property damage to a third party, personal liability insurance can help cover the costs. The policy helps defray the cost of defending against such claims and compensating for any damages the court actually awards.
Personal Property Coverage
Condominium owners can mitigate the financial impact of a loss to their personal items caused by perils such as fire, theft, and high winds by purchasing personal property insurance. This type of insurance may also pay for certain improvements that a condo owner has made to their property. When purchasing condo insurance, the policyholder sets the coverage limitations.
Workers’ Compensation
If a condo association worker is hurt on the job, workers’ comp insurance can assist in paying for their medical bills and lost wages. Employees may rest easy knowing they will be taken care of financially in the event of an injury sustained on the work with the help of this insurance. Again, coverage amounts are established by the policy limitations selected by the owner.
Conclusion
Condo association insurance policies are essential for ensuring the safety and security of both the association and its members. The policies provide coverage for damages caused by natural disasters, theft, and liability issues. They also provide protection for the association’s finances and assets. By understanding the different types of policies available and the coverage they provide, condo associations can make sure they have the right coverage for their needs.
If you are looking for a company that provides commercial property insurance in Philadelphia, look no further than our services here at Pascal Burke Insurance Brokerage Inc. We are specialists in an array of policies that cover not only general cases but specialty contractors. Call us today, and let us discuss all your viable insurance options.