Owning a condominium offers many advantages. Life in a condo or co-op often means access to amenities and maintenance that the average single-family homeowner would not have. It means living in a community with close neighbors and unique living situations. This unique style of community ownership also means that the standard single-family HO-3 homeowner policy is not the right coverage for a condo owner.
What Differentiates the HO-6 policy?
In many ways, an HO-6 policy is like the more common HO-3 policy. It provides coverage for personal property, dwelling, and liability coverage. However, the HO-6 is specific to the community nature of condominium or co-op ownership, aligning with maintenance agreements or General Liability Insurance policies associated with a condo association. Maintenance agreements are used to ensure all condominium owners within a community align with community standards. Condo or homeowner associations will often carry separate General Liability policies, which may cover some things otherwise not covered by the HO-6 policy, such as exterior damage.
What Does the HO-6 Policy Cover?
The HO-6 policy can cover several types of claims, such as:
- Dwelling Coverage – This applies to interior elements of a condo in need of repairs, such as ceilings, walls, or floors.
- Loss of use – This covers hotel stays when damage to a condo renders the unit unlivable for a period of time.
- Personal Liability – This covers costs of injury or damage to others wherein you or a household member are legally liable. This coverage may also provide coverage in the event you a sued for damages or injury associated with a liability claim. Additional liability coverage can also be purchased through an Umbrella Insurance policy.
- Personal Property – This covers damaged items in the event of an accident such as a fire or storm. Possible covered items may include electronics or furniture.
- Medical Payments – This covers medical bills when a guest is injured at your home, regardless of who was at fault.
- Loss Assessment – This coverage may apply if you are levied a fine by your condo association.
Final Thoughts
Though there are exclusions to the HO-6 policy, its unique applicable coverages are essential to providing the right amount of coverage in the shared community lifestyle. Such exclusions may include the exterior of your condo, as this is likely covered under your HOA’s General Liability coverage. Also, keep in mind most condo HO-6 policies do not cover flood damage or business-related claims.
To learn more about HO-6 Condo policies, contact Strobel Insurance. Our licensed professionals will be happy to answer any questions you have.
