Condominium insurance is unique and has different coverage than a traditional homeowner policy.  Your condo insurance policy covers your personal property and liability, as well as any additions, alterations and improvements you make to your unit that are your responsibility based on the condo association agreement, commonly referred to as by-laws.  Condo insurance provides coverage for your personal property and much more. For a few more dollars, you can elect to carry Full Value Personal Property which ensures that you are reimbursed full replacement value without regard for depreciation after a covered loss.  If you have upgraded cabinets or put in hardwood floors, condo building item coverage protects these investments. Be sure to consult your HOA agreement to determine what the Association policy covers and what you are responsible for.  If common areas are damaged, your condo association may levy assessments against all the owners to pay the deductible on their association policy.

Optional loss assessment coverage is also available to protect you against certain assessments that may be levied by the association.  Ordinarily unit-owners are responsible for the interior of their units.  However unit-owners can be responsible for common areas like hallways, walkways, sidewalks, parking and garage area, etc.  Your by-laws will specifically detail what you as the unit-owner are responsible for.  Be sure to consult the HOA agreement to determine the potential for such assessments.  For example, if there is damage done to a common area, such as a hole in the wall of a commonly owned hallway, the expense to fix this damage may be split amongst the unit owners within the association.  For large claims in common areas as described, your loss assessment coverage may come into play.  It is important to know what coverage amount your policy offers for loss assessments as it is optional and not automatically included in the condo policy.  You would be compensated for additional living expenses incurred should you need to vacate your condo after a covered loss. Let 123 Insurance help you find the right amount of coverage to suit your insurance needs in Vermont.  Call us today at 802.524.0202.