Buying a condo is a great choice for those who don’t want the hassle of maintaining a house or for those downsizing and looking for a more affordable living option. Your condo fees support maintenance in the common area and the building’s exterior (roof, cladding, windows, etc.) and this is precisely why there are several special insurance policies involved.
These policies are:
- Commercial condo insurance—This policy, which covers the structure of the building and the common areas, is owned by the condo corporation.
- Personal condo insurance—This is the policy you own, which covers the condo contents, upgrades, premise and personal liability, and theft from your condo or locker.
- Tenant insurance—If you’re renting out your condo, additional policies, such as landlord/tenant insurance might be required.
However, we’ll focus on personal condo insurance and the coverage you need for your particular situation.
Condo insurance coverage limits: A comparison
While a personalized quote will give you the exact value of your policy, the suggested guidelines below offer an overview of the coverage you can expect for a variety of different situations.
|Minimum coverage||Average coverage||Extensive coverage|
|Upgrades, improvements, and fixtures||$0
(hardwood floors, crown moulding)
(new kitchen cabinets and counters, hardwood floors, and crown moulding)
|Condo corporation insurance-related assessments||$2,500||$10,000||$25,000|
|Personal and specialty property||$20,000
Clothing, appliances, and electronics (TV, phone, computer)
Clothing, appliances, electronics (TV, phone, and computer), jewelry, musical instruments
Clothing, appliances, electronics (TV, phone, and computer), jewelry, musical instruments, china and silverware, and art and/or wine collection
|Loss of use, liability, and optional coverage|
|Additional living expenses||~$24,000
Furnished one-room condo/apartment ($2,000/month) for 12 months
Furnished two-room condo/apartment ($3,000/month) for 12 months
Furnished two-room condo/apartment
|Personal and premises liability||$500,000||$1 million||$2 million|
|Identity theft and financial loss||$10,000||$20,000||$50,000|
Condo insurance policies are affordable and easy to obtain. If you already have one, review it to ensure you’re fully covered. If you’ve been gambling with your financial future by living without insurance, get a policy to ensure peace of mind.
These insights are shared by InsurEye, a leading Canadian platform for consumer insurance reviews, offering home insurance quotes across Canada including home insurance in Edmonton, Calgary, Toronto, Vancouver and other locations.
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Flickr: marc falardeau