Best Condo Insurance This policy is intended to protect you from disasters such as fires, thefts, and floods. This insurance also offers liability protection, as well as covering your hotel bills should you be forced to relocate due to a covered peril. It will pay to remove debris from the area if your unit was damaged by one of the covered perils.
Understand your needs before you start looking for condo insurance. It is important to get multiple quotes in order to compare coverage options and price.
Generally, the best condo insurance companies offer excellent rates, great customer service and useful features. Some, like State Farm, offer an online quote tool that instantly estimates your premium based on the coverage levels and features you want.
Recommendations for Condo Insurance:
Most condominium owners have dwelling coverage, which protects the interior of their condo against certain types of damages. If your condo is damaged by a covered incident, such as flooding or fire, it will be repaired or replaced.
Your personal property will be replaced if damaged or lost, but the amount covered depends on how much you own and your insurer's offer. Most standard policies will only pay actual cash values, meaning you'll get the depreciated cost of your belongings when a claim is made. If you choose replacement costs, your policy will pay the full amount of value for all of your personal property.
How much dwelling insurance you need depends on your condo value, mortgage balance and the amount covered by your condo corporation's master policy. The most common method of calculating how much dwelling coverage you need is the 20% rule, which states that if your condo is fully destroyed, it should only take 20% of your condo's total value to replace it.
The master policy of your condo association may also cover building property, which would repair or replace any damage to the condo's interior caused by an insured event. The coverage will cover walls, built-ins and appliances but not your roof or the exterior.
Consider adding an endorsement that will protect your valuables. If you have valuable antiques or art, it is important to insure them.
Personal property coverage is available to most condominium owners. This covers clothing, furniture, and other items that are damaged or stolen. Many policies limit the amount of coverage for a single item. However, you can add riders that extend this limit.
Shop around before you buy a policy. You can often save by bundling insurance coverage, increasing your deductible or other measures to reduce premiums. Some insurers offer discounts for installing smoke detectors or deadbolt locks on your doors.