How Condo Insurance Differs From Home Insurance
A house is different from a condominium, as is their insurance. Just like renters and homeowners, those who have their own condo unit want to be insured against financial loss due to potential dangers, such as fire, theft and lawsuits. Therefore, whether you live in a condominium of a house, you’ll likely require to insurance to protect you and your property from any kind if harm. However, it is important to note that condo insurance and home insurance are different.
What is Their Primary Difference?
When living in a home, chances are your home insurance offers coverage for your home structure, other items that may be in your property and those you’ve stored inside your house.
A condo insurance policy, on the other hand, won’t be accountable for insuring any shared property like sidewalks, pools or even the building that your condo is housed in. Also, it doesn’t have to insure any structure that doesn’t technically belong to you. With this, your condominium insurance will be responsible only for your personal belongings, walls, appliances and other items that solely belong to you.
What do These Insurances Cover?
Condo – a condo insurance policy often provide coverage against damage or loss of your personal property because of the following cases:
- Water escape
- Glass breakage
- Lightning or fire
Optional coverage for this insurance policy may also include loss of use or assessment, improvements and personal liability.
Homeowners Insurance – this will typically cover the following:
- Your personal belongings
- Structure of the home
- Additional living expenditure
In some countries, you’re required to have home insurance to secure your mortgage. The insurance policy covers the cost of damage to your possessions and home from loss, theft or fire. If you are living or planning to live in a condo unit, it is a must to insure your property.