Personal · Renters & Condo
Condo and renters insurance
In a condo or rental, the building has its own insurance — but it rarely covers what's inside your walls or what you're liable for. We read your association documents and lease, then insure exactly what they leave to you.
Schedule a Coverage ReviewWhat does condo insurance cover?
A condo unit-owner policy (HO-6) covers the parts of your unit that the association’s master policy does not, your personal belongings, additional living expenses after a covered loss, your personal liability, and assessments the association charges owners after a loss. How much building coverage you need depends on what the master policy includes, which is set by your association’s master deed and bylaws. Reading those documents is the first step, not an afterthought.
| Master policy type | What the association insures | What your HO-6 must cover |
|---|---|---|
| Bare walls | The structure only, up to the unfinished interior walls | Everything inside: drywall, flooring, cabinets, fixtures, improvements |
| Single entity / original specifications | The structure and original fixtures and finishes | Upgrades and improvements you or prior owners made |
| All-in | The structure, fixtures and most improvements | Belongings, liability, loss assessment and any gaps the bylaws assign to owners |
What is loss assessment coverage, and why does it matter?
Loss assessment coverage pays your share when the association charges unit owners for a loss, such as a large master-policy deductible, damage to common areas, or a liability claim that exceeds the association’s limits. Master-policy deductibles have risen sharply, and many associations pass the deductible to the unit where the damage started. Default loss assessment limits on an HO-6 policy are often low, so the limit should be set against your association’s actual deductible.
What does renters insurance cover?
Renters insurance (HO-4) covers your personal belongings, additional living expenses if the rental becomes unlivable after a covered loss, and your personal liability, including damage you accidentally cause to the landlord’s building. The landlord’s policy covers the building, not your belongings or your liability. Many leases require renters insurance with a minimum liability limit and sometimes ask that the landlord be listed as an interested party.
How is water damage handled in a condo building?
Water damage in a condo often involves several policies at once: the association’s master policy, the policy of the unit where the leak began, and the policies of units below. Who pays usually depends on the master deed and bylaws, where the water came from, and whether negligence was involved. An HO-6 policy with adequate building and loss assessment limits, plus water backup coverage, can help reduce the gap between the association’s policy and your own.
What should owners of high-value or seasonal condos consider?
High-value condos often contain custom finishes, art and collections worth more than the HO-6 default limits, so building and contents limits should be based on an actual inventory and replacement-cost estimate. Seasonal condos, in Michigan or in a second state such as Florida, add questions about unoccupancy, hurricane deductibles on the association’s policy and how loss assessments are triggered there. Every condo you own should also be listed under your umbrella.
Related: Homeowners · Umbrella · Private Client hub
This page is educational and does not alter any policy or provide legal advice on condominium documents. Coverage is determined by the actual policy forms, endorsements and declarations issued by the insurer.