Are there any special problems to consider when insuring a condominium?
Yes. Broadly speaking, the condo association is responsible for insuring the outside of the building and you as the condo owner are responsible for insuring a portion of the interior of the building, along with your personal possessions. The problem is, What defines that portion of the interior of the building that you as owner need to insure, and how does that translate as to how much insurance you need? The answer can only be found in the contract between the condo association and yourself, the condo owner. It would be nice if the contract language defining each partys responsibility was universal, but it is not. Only a reading of your contract tells you what part of the building you need to insure and as a consequence how much coverage you will need to buy. Caution: beware of the fast answer. We have looked at contracts where the owner was responsible for over $100,000 of the interior building while their current insurance policy only gave them coverage of $25,000. Return to top BUS
