There is a constant debate in the insurance industry about how best to insure housing. Here are 3 important things to consider when insuring your apartment.
first What am I responsible for and how much does it cost?
To determine what you are responsible for, it is best to dig into the association's main policy (declaration and statutes) to see exactly what your obligation is as a unit owner and what is covered by the housing association through its insurance policy for covered buildings, including your unit. This will be crucial to determining the amount of coverage needed for the home itself. Most condo insurance policies will define what makes your home coverage based on your ownership of the apartment including its fixtures, improvements and modifications, as well as property you are required to insure under your condo association master policy. The Condo Association Master Policy may vary depending on what your insurance liability is for your unit. Some main policies provide insurance coverage for the entire device, including all modifications, appliances, fixtures, and improvements. some will provide coverage for unfinished walls and subfloors; some coverage changes, fixtures and improvements that are original to the units; Some may only provide coverage for the exterior of the buildings. There may also be questions about whether your policy or the Condos Association insurance policy provides coverage for plumbing, electricity, plumbing, windows, doors, patios, decks, and other structures.
In addition to what is described in condo association master policies, each state has a housing law that can also determine insurance liability between you and the apartment association for damage to your unit. Most condo insurance policies include another insurance and service agreement stating when both your policy and condo association insurance policies cover the same things, condo association policies are primarily for providing insurance cover, except for the amount not covered by the association policy due to a deductible which can often be quite large. Your policy will then be crucial to cover the coverage of the amount of the apartment association policy deductible.
2. How much is the association deductible?
The association's main policy will also usually require that they receive insurance for common spaces and limited common spaces for shared buildings and spaces. In the event of a loss as a fire, the association can assess all unit holders a part of the loss costs to cover the deductible or other losses of the insurance that are not covered by the insurance policy of the insurance association. Most condo policies provide limited loss assessment coverage for these situations. It is important as unit owner to decide what your proportional responsibility may be against your housing association's insurance deduction for covered losses and assessments taken for covered losses outside the insurance policy. This can be a financial responsibility that you would have to consider in addition to your own interest rate penalty, if it were a loss managed by your housing association's insurance policy.
3. How much personal property do I have?
Firstly, it is a good idea to make a list of the objects in your apartment or city residence. When evaluating your personal items such as electronics, clothing, jewelry, furniture and art, consider the individual value of your major ticket items first. Then add your smaller everyday items such as clothes and kitchenware. Appreciating the smaller items as a bulk collection versus individually gives you an idea of how much coverage is needed.
There are many variables to insure your apartment, but with the help of your independent agent, you can make sure you are adequately covered!
The above information is of a general nature and your policy and cover may be different from the examples given.
6 Condo Insurance Questions
How Much Are Your Things Worth?