Best Condo Insurance is designed to cover your possessions against theft, fires and other disasters. This policy covers you for liability, and will cover your hotel costs if damage forces you to move. Even debris removal can be covered if the unit is damaged by an insured peril.
Understanding your needs is the first step in finding the best condo policy. Compare quotes to compare prices and coverages from multiple insurance providers.
Generally, the best condo insurance companies offer excellent rates, great customer service and useful features. Some, like State Farm, offer an online quote tool that instantly estimates your premium based on the coverage levels and features you want.
Recommended condo insurance coverage:
Dwelling is the most common type of insurance for condominium owners. It covers your condo's interior against certain types or damage. It pays to replace or repair your condo after it's been destroyed by a covered disaster, like a flood or fire.
The amount of coverage will depend on the type of property you have and what your insurance company offers. The standard policy will only pay the actual cash value. This means that you will receive the depreciated amount of your personal belongings at the time of the claim. You can choose replacement cost to receive the full value of all your possessions in case of a covered loss.
How much coverage you will need depends on how much the condo association's policy covers, as well as your mortgage balance. The most commonly used method to determine the amount of coverage needed is the "20% rule", which states that your condo should only be replaced if it is completely destroyed.
It's possible that your condo association's policy includes building property coverage. This would cover the repair or replacement of the interior of your condominium if damaged by a covered accident. This coverage includes fixtures such as walls and built-ins, but excludes the roof and exterior of your unit.
Consider adding an endorsement to the condo policy to provide extra protection if you have valuable possessions which could be damaged or taken. Consider protecting antiques, fine art, or other valuable possessions.
Personal property is the second coverage option for condominium owners. It pays to replace or repair clothing, furniture or other items damaged or taken. Most policies have a limit on the amount they'll pay for a single item, but you can add riders to extend this limit to valuable items such as electronics and jewelry.
You should always shop around before buying a policy to see if you can save by bundling your coverage, raising your deductible or taking other actions to lower your insurance premiums. Some insurance companies will give you discounts for installing deadbolt locks or smoke detectors.