Home Insurance Condo and co-op homeowners insurance: What you should know Written by: Michelle Megna Michelle, the former editorial director, insurance, at QuinStreet, is a writer, editor and expert on car insurance and personal finance. Prior to joining QuinStreet, she reported and edited articles on technology, lifestyle, education and government for magazines, websites and major newspapers, including the New York Daily News. Read full bio >> | Reviewed by: Les Masterson Les, a former managing editor, insurance, at QuinStreet, has more than 20 years of experience in journalism. In his career, he has covered everything from health insurance to presidential politics. Read full bio >> | Updated on August 13, 2021 Why you can trust Insure.com Quality Verified At Insure.com, we are committed to providing honest and reliable information so that you can make the best financial decisions for you and your family. All of our content is written and reviewed by industry professionals and insurance experts. We maintain strict editorial independence from insurance companies to maintain our editorial integrity, so our recommendations are unbiased and are based on a comprehensive list of criteria. If you think insurance for your condominium is covered by your association fees, think again. Typically, your monthly condo fees are used to fund a building insurance policy. This generally provides coverage for perils outside of your unit like the building’s structure and covers liability if someone is hurt on the property outdoors. But if your unit is robbed or damaged, building insurance will not provide coverage for your personal possessions. You also won’t have protection from personal liability if someone is injured inside your unit. To protect your belongings and yourself, you need to purchase a personal home insurance policy for condos (called an HO-6). What does condo association master policy cover? How much condo insurance you need depends on your condo association’s master policy. Condo and co-op owners should first review their association’s master insurance policy to find out what that policy covers, and what it doesn’t. In most cases, that building insurance policy should cover physical damage and liability for common areas such as the hallways, roof, basement, elevator, boiler and common walkways. Co-ops and condominium associations also can obtain coverage for sewer backups, seepage, floods, earthquakes, employee dishonesty and changes in municipal rules and regulations. For older buildings, another option is liability coverage for claims resulting from exposure to lead-based paint. Key Takeaways Condo home insurance (HO-6) policies protect against loss or damage to your personal possessions plus covers personal liability (if someone is injured in your unit) and additional living expense. Find out what your condo association’s master insurance policy covers. Most master policies cover common areas but some also cover standard fixtures in each unit –while others cover only bare walls. Optional condo insurance coverage can include flood, earthquake, and floaters for jewelry, collectibles and computers. In some cases, the building association’s insurance policy also covers the standard fixtures in each unit. The condo owner might only be responsible for personal property inside the unit and for any additions or alterations made to the original structure, such as new carpeting. In other situations, the building policy covers only the bare walls, leaving condo owners responsible for insuring anything inside a unit such as cabinets, carpeting and bathroom fixtures. Average condo insurance rates by states State $40,000 $60,000 $80,000 $100,000 North Dakota $292 $326 $361 $396 Vermont $316 $350 $382 $415 Wyoming $372 $394 $421 $447 Iowa $364 $412 $455 $499 Hawaii $358 $413 $464 $517 West Virginia $355 $413 $471 $531 Nebraska $375 $432 $482 $539 South Dakota $383 $442 $498 $553 Virginia $368 $444 $520 $596 Maryland $382 $449 $511 $573 Washington $429 $485 $537 $591 Alaska $431 $488 $539 $590 Montana $426 $489 $539 $586 DC $420 $491 $566 $643 Minnesota $432 $492 $548 $607 Delaware $420 $496 $565 $639 Maine $411 $497 $574 $654 Ohio $433 $497 $556 $619 Utah $456 $498 $537 $577 New York $467 $543 $615 $690 New Mexico $490 $545 $604 $671 California $466 $553 $637 $723 Missouri $517 $573 $625 $681 Wisconsin $518 $577 $630 $684 Oregon $532 $600 $661 $722 Indiana $525 $602 $671 $744 Rhode Island $503 $603 $696 $788 Kentucky $533 $614 $687 $761 Pennsylvania $540 $614 $676 $742 Nevada $548 $624 $695 $768 New Hampshire $565 $626 $684 $745 Idaho $523 $629 $723 $829 Kansas $557 $634 $709 $786 South Carolina $552 $645 $733 $827 New Jersey $553 $650 $726 $814 Arizona $602 $662 $740 $818 Illinois $590 $669 $739 $804 Michigan $607 $694 $775 $844 North Carolina $553 $698 $832 $966 Massachusetts $577 $710 $836 $963 Tennessee $642 $749 $835 $936 Colorado $674 $757 $834 $912 Connecticut $686 $823 $941 $1,065 Arkansas $770 $867 $958 $1,048 Louisiana $779 $887 $990 $1,093 Alabama $784 $900 $1,016 $1,124 Mississippi $802 $960 $1,133 $1,288 Georgia $821 $979 $1,115 $1,186 Texas $807 $990 $1,167 $1,325 Oklahoma $1,025 $1,121 $1,220 $1,339 Florida $1,051 $1,293 $1,486 $1,555 Other condo insurance coverage options to consider Cash or replacement value. You can insure your personal possessions for either the cash value or their replacement cost. With cash value coverage, you receive the value of the item minus depreciation, while replacement value pays the current cost to replace the item. Replacement value costs more, but it guarantees you’ll be able to replace your items. Deductible amount. What level of deductible can you afford? A higher deductible can mean lower insurance premiums, but if something happens, be prepared to pay out that high amount. Unit or loss assessment. If your co-op or condo building is damaged by an insured disaster or its members are sued, and the cost of that damage is not fully covered by the association’s policy, this type of coverage would pay for your share of an assessment charged to all unit owners. Flood or earthquake. Generally HO-6 homeowners/condo policies don’t include coverage for either floods or earthquakes. If you live in an area where either might occur, consider adding that coverage. Floaters. Most policies set limits for items like jewelry, collectibles, and computers. If you own expensive items, you can pay extra premiums to have those items fully insured under what is called a floater. Without a floater, a policy will cover such items only under general categories and offer reimbursement up to a maximum of only a few thousand dollars (limits vary). For example, a standard policy may cover only up to $1,000 for jewelry without a floater. Discounts. Insurance companies offer an array of discounts. Factors that could reduce your premiums include smoke detectors, alarm systems, deadbolt locks, closed-circuit television, a secured-entry system or a doorman. If you insure your unit with the same company that underwrites your building’s insurance policy, you might get an additional reduction in premium. You also could qualify for a multi-line discount if you purchase your condo/co-op and auto insurance from the same company. More discounts might be available depending on your age or whether you’re a non-smoker. Building location may play a role in your rates. Typically, the better quality and newer the dwelling, the lower your premiums will be.