The buildings’ declarations or by-laws generally outline what coverage is needed by the condo association and unit owners alike. Unit owners are generally responsible to insure their unit (from the walls-in) as well as purchase liability coverage to protect against third party claims of bodily injury or property damage that result from their ownership of the condo unit. In contract, the associations master policy protects the unit owners as collective with respect to common ownership of property and the liability exposure thereof. Rule Number 1: Never assume that the building is responsible for loss that occurs to, or results from your unit.
What can a policy of your own cover?
We encourage you to read your policy carefully as each can vary significantly. Most policies will include:
- Property Coverage on your Unit:
This usually includes portions of your unit such as walls, partitions, built-in appliances as well as improvements & alterations made.
- Personal Property Coverage:
This includes your possessions while in your unit in which you have a sole interest in. Typically, this includes home furnishings, clothing, and items that aren’t affixed to the building. This also typically can include areas used in conjunction with your unit such as a storage unit – sometimes even off premise!
- Additional Living Expenses:
Insurance can reimburse you for the extra cost of rooms, meals and certain other expenses when you cannot live in your unit because of damage resulting from a covered loss.
- Personal Liability Coverage:
This insurance provides comprehensive personal liability coverage for you and family members residing in your unit against claims resulting from bodily injury or property damage to others. This coverage typically follows you anywhere in the world, and isn’t generally specific to the residence you’re insuring.
- Medical Payments:
Provides coverage for medical expenses incurred as a result of bodily injury to others. Often referred to as “good will” coverage, most carriers don’t require that you prove negligence should a third party be injured on your premise.
- Loss Assessment Coverage
Some policies can include coverage to address certain assessments that may be charged by your building that result from claims levied against the association. This valuable coverage can prove very useful when you least expect it!
All policies contain exclusions and limitations
Speak to a local professional who understands your needs and can propose the right coverage. This can prove far more valuable than purchasing coverage online by clicking drop-downs on a website, or through speaking with a call center.
As one of Long Island’s largest privately-held independent insurance agencies, we are appointed with over fifty A-Rated insurers. We have access to many comprehensive and competitive programs to fit your unique situation. To learn more, contact Noah Bank at 516.396.8342 or via email to firstname.lastname@example.org.