Avoid Overpaying for Condo Insurance

Most companies who insure homes also insure condos. With that said, various factors cause your rate to be impacted; how the condo is used, claims history, credit, or not shopping around to find the right coverage with the correct rate. As an insurance broker, I have a variety of solutions for my clients, which takes the leg work away from my clients to find a great rate with excellent coverage. Each scenario is different, so one person may have a condo policy with a great rate of $250 a year while someone else may have a luxury condo near the ocean at a rate of $1,000 a year.

Condo Coverage

Recently I composed a blog entry shared on my page titled How to Understand Your Homeowner’s Policy which discusses the ins and outs of a home policy. A condo policy is very similar with one major exception; most condo policies cover the studs inside the wall inward. The exterior is usually covered by a condo owners association policy that covers all the buildings on the property as a shell of a structure, which means they do not insure anything inside the building except common areas, which may be part of the building. Your condo policy covers the inside of your condo, your personal belongings (which is usually customizable), guest medical, and liability. Like a stick-built home insurance policy, any claims payout is subject to the deductible you select. The most common condo insurance deductible I issue is $1,000. There are comfortable taking a risk that nothing will happen and selecting a $2,500 or even $5,000 deductible option.

If you own a condo, make sure that you have the best policy for you. If you live in the condo, you own, ensure that your agent provides you with the right policy. For a condo used as a short-term rental, ensure that you have the proper endorsement to ensure you are adequately covered. Lastly, if you have a long-term rental (6 months or more), make sure that you have a landlord condo policy to ensure you have the coverage you need for this scenario. Obtaining the right coverage and shopping options helps you to avoid overpaying or being incorrectly covered. For more information or to get a quote click here or call 253.642.4010.