Buying a condo in Utah comes with a nice perk: your homeowners association carries a master insurance policy for the building. But that policy has real limits, and assuming it covers everything is one of the most common, and costly, mistakes condo owners make. Here is how condo (HO-6) insurance fills the gap.
What the HOA master policy does and does not cover
Most master policies are “walls-out”: they cover the building’s exterior, roof, and shared common areas, but not the inside of your unit or your belongings. Some cover even less. Either way, what is inside your front door is usually your responsibility.
What condo (HO-6) insurance covers
- Interior / walls-in: your flooring, cabinets, fixtures, and built-in features.
- Personal property: furniture, electronics, clothing, and valuables.
- Personal liability: if a guest is injured in your unit or you damage a neighbor’s property.
- Loss assessment: your share of a large claim the HOA charges back to all owners.
- Loss of use: temporary living costs if a covered event makes your unit unlivable.
How much coverage do you need?
Start by reading your HOA bylaws and master policy so you know exactly where their coverage stops and yours needs to begin. Then make sure your personal-property and loss-assessment limits are high enough. An independent agent can help you read the fine print and match your policy to your building.
Want to protect your unit the right way? Learn more about condo insurance or compare your quotes online today.