Condo insurance is a special type of insurance for a person who is either renting a condominium or has purchased one. Most people who purchase this type of insurance do it to protect themselves in unforeseen situations. This type of insurance is different from the insurance that a person receives from the Condo Association. Condo Association coverage only covers the outside of the unit. It covers the grounds of the building and the foundation of the building. The condominium insurance goes deep into the heart of the building and provides much more protection for the policyholder.
Condo insurance covers three types of items. First, it covers the interior of the building. Second, it covers all of the appliances within the building. Thirdly, it covers the policyholder’s personal property. The protection covers the person in situations such as theft, fire and other disasters such as hurricanes and tornadoes. The individual has to make sure that he or she picks a policy that specifies personal property coverage, however. If the personal property consists of special items like jewelry and art collections, the person may have to get a special type of policy.
A condominium insurance policy may also cover liability and something called additional living expenses. Additional living expenses may include hotel rentals when a property is not fit for the person to move back into it. Liability coverage takes care of claims that come about when visitors say that they have been hurt inside the policyholder’s property.
The major benefit of having the insurance is that the person can have peace of mind. He can continue life as usual and not have to worry about the above-stated situations. The policy may not be a requirement for the condo dweller, but he should deeply consider it.
The insurance condo policy works the same way that most other policies do. The policyholder needs to report an incident and file a claim if something occurs. He will have to pay a deductible if the policy has one. The insurance company will then conduct an investigation and pay the claim if it finds that the claim is valid.