As a condo owner, you’re likely aware that condo insurance provides similar protection to home insurance policies. However, there are some differences regarding interior and exterior coverage. While condo insurance covers external damage, as well as damage to common areas such as stairs and elevators, you’ll need to add dwelling coverage.
Types of Dwelling Coverage
There are two types of dwelling coverage for condo insurance:
- Bare Walls-in Coverage: Bare Walls-in means you’ll have to purchase coverage for each appliance and fixture in your unit. This is the only way you’ll be protected if your bathtub, sink, refrigerator, and other appliances are damaged.
- All-in Coverage: All-in coverage protects your unit’s interior and exterior parts. You’ll only be required to purchase coverage for items like clothing and electronics.
If your master policy includes All-in coverage, you may not need as much dwelling coverage as you would if it’s Bare Walls-in. One scenario to consider is if you plan to upgrade the unit. Damage to any upgrades you’ve made throughout the unit may not be covered under All-in policies. You should purchase extra coverage if you plan to upgrade your condo shortly.
Why Is Dwelling Coverage Important
Dwelling coverage for condo insurance is essential because it allows you to protect your items in an emergency. An accidental fire may start, and most items may be burnt. Dwelling coverage will help you replace those items. Dwelling coverage also protects your items if they are damaged due to a plumbing or HVAC issue. Be aware of potential exclusions. Dwelling coverage may not cover you if your items are damaged due to an earthquake or flood.
Review Coverage Yearly
It’s recommended that you assess your coverage limits at least every year. Your needs have changed, and you have decided to adjust your policy. The real estate market, labor costs, and potential renovations may influence your dwelling coverage limits. You Should compare multiple quotes to see if you can find a better rate. Try to speak with your insurer before starting a renovation project so they can adjust your policy accordingly.
Consult with Jack Stone Insurance!
Dwelling coverage gives you peace of mind that your items are protected during emergencies. The Jack Stone Insurance team will help you review your master policy and find the right coverage to protect your possessions. Contact us to get the best dwelling coverage for your condo.