As you navigate the process of becoming a condominium owner, it’s hard to determine what insurances you need for maximum coverage. With master condo insurance, many condo owners assume that everything will be covered under one plan. But this is not true, leaving owners confused and frustrated once damages or liability occur. Learn more about master condo insurance myths to be aware of from Muller Insurance.
Myth: Master condo insurance will take care of all damages.
The biggest misconception is that having a master policy covers you from all liabilities and damages that may appear. But master condo insurance typically only covers shared common spaces within the building and the building itself. This includes areas like:
- Roof or building exterior
- Gyms (Gym equipment would have to be added)
A master condominium policy will not insure personal damages that are present in individual units. That’s why you should periodically check your master policy coverage to know what aspects of your condo are protected and which ones are not.
Myth: Master condo insurance covers all units.
Since your master policy only covers repairs to the building and shared spaces, it doesn’t necessarily mean that you can skip personal condo insurance. Your master policy will not insure the units that you own, so it’s important to have a personal policy to get the most coverage. Personal condo insurance can cover a variety of issues that may arise within your units, including:
- Certain types of water damage
- Damaged or stolen valuables
- Liability claims
- Damage to your interior walls and improvements
- Personal Liability
Your coverage plan can also provide you with additional living expenses if you are not able to stay in your condo due to serious covered damages. Not all insurance plans are the same – different policies may cover different aspects of your condo, so it’s best to look at all of your options to be better prepared in the case of an emergency.
Myth: Tenants are covered under master condo insurance.
It’s easy to assume that because your building has a master policy, all of your tenants will be insured under it. But if your tenants are renting a unit, they are responsible for getting their own renter’s insurance to cover any additional issues that may arise. If not, you may be liable for certain damages.
It is recommended that you require your tenants to have a renter’s policy to avoid stressful situations regarding liability or personal damages. When accidents occur, this can become a costly endeavor if your tenant decides to take the issue to court. But if your tenant holds a renter’s insurance policy, they can submit any claims for their property or liability to their insurance company. The unit owner is not responsible for the belongings of their tenant.
Learn More about Master Condo Insurance
For over a decade, Muller Insurance has been dedicated to providing our condo owners with the best policies and plans so they can get the maximum amount of coverage. When you decide to work with us, you will get personal service with agents who understand the frustration and anxiety associated with choosing the best insurance policy. We are here to ease the process through effective communication, easy-to-understand policy options, and an insurance plan tailored to you and your lifestyle. To learn more about our services in NJ, NY, CT, PA, NV, and other states, contact us today or request a quote.