Condo Insurance Helps Repair or Replace Personal Belongings
A condo is a person’s home but it’s not a house. It is similar to an apartment, but has several differences. And because it’s not the same as a home, anyone who lives in a condo should consider condo insurance. There is usually a condo association responsible for maintaining the building and the grounds. The association usually owns the land that the building is on. They should have insurance for the building and grounds, so that means you need coverage for the interior of your unit.
Some lenders require property owners to purchase enough coverage to replace the physical property. So if a fire destroys the property, then insurance will help. Some lenders also require liability insurance before they will issue a loan. Liability compensates other people for injuries incurred while in your condo. If a guest trips on your child’s toy, then you may be responsible for their medical bills and lost wages. Liability will pay for these expenses as well as legal bills.
Your personal belongings could be damaged, stolen or destroyed. This is why personal property is a major area of concern when considering a condo policy. The amount of coverage should be enough to replace or repair your belongings. It’s a good idea to document the value of the contents, such as by taking pictures of belongings in the condo. If your deductible is too high, then you can adjust the deductible amount. You only pay a deductible when you file a claim. But the deductible should be affordable.