What does condo owners insurance actually cover?
A condo owners policy, often called an HO-6, protects the parts of your home and life that the condo association’s master policy does not. The association insures the building structure and shared areas. Your HO-6 covers the inside of your unit, your belongings, your liability, and gaps the master policy leaves behind.
A typical Georgia condo (HO6) policy covers the parts the association master policy leaves to you:
- Interior and improvements (dwelling/Coverage A): Your floors, cabinets, built-ins, fixtures, and any upgrades you made inside the walls. This fills in where the master policy stops, which is often at the bare studs.
- Personal property: Your furniture, clothing, electronics, and other belongings, whether they are damaged at home or stolen away from home.
- Personal liability: If a guest is injured in your unit or you accidentally cause damage to a neighbor’s unit, this helps pay legal and medical costs.
- Loss of use: If a covered loss makes your unit unlivable, this pays for temporary housing and extra living costs.
- Loss assessment: Helps pay your share when the association bills all owners for a covered loss that exceeds the master policy.
The key is knowing where the master policy ends and yours begins. Many associations use a “bare walls” master policy, which means everything from the drywall inward is your responsibility. Others use “all-in” coverage. Reading your association documents is essential to set your dwelling limit correctly.
For example, imagine a pipe bursts in the unit above you and ruins your kitchen. The master policy may repair the building shell, but your HO-6 pays to replace your cabinets, flooring, and damaged belongings, perhaps $18,000 worth, minus your deductible. Without an HO-6, that cost falls entirely on you.
To confirm whether your condo limits match your association’s master policy and your actual upgrades, get a free coverage review and a licensed advisor will check the fit.