Florida Condominium Association

Florida Condominium Association

Six Questions To Ask When Getting Florida Condo Association Insurance

Getting Florida condo association insurance can be a difficult process. There are many factors that are involved, and you want to make sure to have the best backup plan. Before purchasing Florida condo association insurance, make sure to ask the following six questions:

1. What does your master policy say?

A condo master policy should clearly state which parts of the condominium complex are insured through associations dues and which parts are not.

There are two types of master polices. One of these is bare walls-in. This covers all property within the exterior framing, including the exterior framing itself. However, it does not cover fixtures and installations. This means certain things will not be covered by master policy. For example, objects like countertops, flooring, and bathroom and kitchen fixtures.

The other type of a master policy is all-in. This covers installations, floors and ceilings, and fixtures of individual units.

2. How expensive is the association deductible?

Condo association insurance generally has commercial insurance coverage for common areas shared in the condominium. These policies usually also have an association deductible. This means that in the case of a natural disaster, if the condo common areas are damaged, there would be a deductible that would be split between all unit owners.

3. What amount of coverage is appropriate?

Taking your interior structures, get covered for about half of the market price. That way if something happens, you’ll have enough for your flooring, cabinetry, and walls. Anything else is considered your personal responsibility.

4. Which type of coverage should you get?

You will need to pick between two basic options: replacement cost or cash value. If you have replacement-cost coverage, you would receive payment for how much your object cost when brand new. With cash-value, you’ll get the amount of money your object costs including depreciation.

5. Are your contents and structure insured?

Make sure to insure both contents and structural items when getting coverage for your condo unit. Some examples of contents are furniture, rugs, electronics, and jewelry. Structural items include flooring, cabinetry, countertops, and lighting.

Be sure to determine what structural items you are responsible for insuring and what items the complex is responsible for.

6. Does your coverage include flood and wind damage?

The association’s coverage might not cover personal contents or interior structure so you might want to purchase your own flood and wind insurance.

With these six questions, you should be better prepared for understanding and getting the best Florida condo association insurance for you and you condo unit. Do your research and ask these six questions, and you will be confident that in the worst case scenario, you’ll have great Florida condo association insurance to cover you.