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I’m looking for something cheap since I’m just out of college. The exterior of the building is already covered. I guess all I have to worry about is fire and theft on the interior.
Yes, I own the condo and I have 100% financing. The lender didn’t specify any requirements for what kind of insurance I should purchase.

14 Thoughts on I just bought a condo. Do I need homeowners or renters insurance? Who do you recommend I use?
  1. Reply
    indu m
    August 4, 2011 at 2:57 am

    I think renters

  2. Reply
    sam hill
    August 4, 2011 at 3:39 am

    if you own the condo your need owners insurance and nowadays it is usually included by the bank since it is their interest…or did you pay cash?

  3. Reply
    August 4, 2011 at 3:49 am

    Home owners insurance is usually required by lenders…did you finance your purchase? Also, you don’t want to be left un-insured–you never know…


  4. Reply
    August 4, 2011 at 4:47 am

    On a condo, you are really only buying the space between the walls. You don’t need a regular Homeowner’s policy.

    You should consider “contents coverage” which is available, if you value your possessions. They would not otherwise be covered if the place burned down.

    Also, the contents policy PROBABLY contains a provision to cover your liability should a guest be injured in your home. That alone is worth having.

    “Need”? Not sure. “Good idea”, yes.

    edit: it isn’t ‘renter’s insurance’, you’re an Owner, and the mortgage company is satisfied with the Condo Association’s “Master Policy”.

  5. Reply
    Nancy P
    August 4, 2011 at 5:22 am

    you BOUGHT a condo. You need homeowners insurance. If you have auto insurance, call your broker since you should get a break if you buy both. Condo insurance shouldn’t count much per year and is definitely worth it.

    Congrats on your graduation and the purchase of your first condo!

  6. Reply
    August 4, 2011 at 6:16 am

    You’ll need homeowners if you own it. Renter’s insurance is only for renters. Get a policy which will pay for replacing your items new, not the depreciated value. Log everything in a notebook, including date of purchase, serial numbers, cost, etc.. You can even scan your rooms with a video camera and put that with the notebook in a fire proof box or safety deposit box. If you were to be robbed or, God Forbid, go through a fire, these help to have on hand. You tend to be traumatized by these events and things slip your mind and you forget some things when making a list of things stolen or ruined by smoke, water or fire damage.

  7. Reply
    August 4, 2011 at 6:22 am

    Because you’re in a condo, your HOA should have a blanket policy for the complex. Your HOA dues most likely include your homeowner’s insurance. The bank wouldn’t have funded your loan without verifying this. If you are living in this property as a primary residence and you want additional coverage, ask your HOA for a copy of the policy and what it covers so you can shop for another company to cover the difference. I suspect it wouldn’t be all that expensive.

  8. Reply
    August 4, 2011 at 6:47 am

    You have to have condo insurance. Homeowners covers houses, renters covers renters in partments/homes/condos. Condo insurance covers condos.

    You want to read the policy or ask specific questions of the agent, such as ‘Is water damage covered based upon sudden & accidental only? or are slow leaks covered as well?” Also, is depreciation of items recoverable upon proof of replacement?

  9. Reply
    August 4, 2011 at 7:15 am

    Since you OWN the property you need homeOWNers insurance. We have State Farm and they are okay. Actually they are all a rip off but what can you do…have to have insurance. Having a higher deductible will help keep the costs down. You can go on line and compare prices. Get busy and good luck.

  10. Reply
    kingsanjay q
    August 4, 2011 at 8:04 am

    please try this

    August 4, 2011 at 8:46 am

    There is a condo policy, it’s typically an HO6 form. Yes, I think you need it. It’s usually pretty cheap.

    Talk to the guy that writes your car insurance for a quote.

  11. Reply
    August 4, 2011 at 8:59 am

    Get a condo policy, just call an independent agency in your town and ask for a condo policy and they will look among several insurance companies to get you the best deal.

    While it’s more similar to a renter’s policy than a homeowners policy because you aren’t insuring the structure. On that note READ YOUR ASSOCIATION BYLAWS, we’ve seen some that insure “walls-in” and some that insure “studs-in” which means you may be responsible for insuring some of the structure. You should get some sort of structure/building coverage for betterments and improvements that you may make to the permenant structure. Even if that coverage is just $ 10,000 it very well could provide coverage in the case of a total loss to your condo. At our agency we don’t write any condo coverage without some building coverage included as the cost is minimal and the need is there, if they refuse building coverage because they don’t think they need it we have them decline the coverage in writing or we’ll tell them we don’t want to write it and they can take it to someone else.

    After that just total up your contents and you are good to go on property.

    Pick a decent personal liability amount, start with like $ 500,000, again the cost is minimal so buy a good amount of coverage.

    If you can afford it now or in the future buy an umbrella policy to go over your personal liability and your auto liability (put your auto with the same carrier you do your condo policy with as it will generate discounts).

    Review your policy annually to make sure the limits on building and contents is enough, as you live there longer the more stuff you collect, so that contents number should go up every year at least.

    Enjoy your new condo.

  12. Reply
    August 4, 2011 at 9:38 am

    You need a condo (HO6) policy to cover your personal belongings and also liability coverage. You should take a copy of your bylaws for the association to your insurance agent. There is a possibility that you will need some coverage for the building. Every association’s bylaws are different. They determine what the master policy that the association buys for the building will pay on the interior of your unit. Some bylaws state that everything is covered, some state that everything except any improvements or betterments are covered and others state that you have to insure everything from the sheetrock in. Your insurance agent will be able to help you determine what you need.

  13. Reply
    August 4, 2011 at 9:58 am

    You need a condo owners policy. You will have to check with your condo association to find out what part of the interior you are responsible to insure. You could be responsible for as much as the studs in and all nonloadbearing walls. This would include all drywall, wall coverings (paint, paper), flooring, cabinetry, interior doors, trim, etc. Or, the association may have bylaws that say the master policy is “all in” which covers the interior of the unit as originally built & you would have to cover any changes that were done since the unit was built (which could have been a total remodel so be careful). Once you determine that, the association can sometimes help you on an approximate amount of dwelling coverage (or additions & alterations or improvements & betterments – depends on the company the terminology they use) you need. If they don’t know, your insurance agent should be able to help you on this too. You will need to purchase dwelling coverage, an endorsement called Unit owners special coverage A endorsement so that you are covered on the building for open perils (covered unless excluded) instead of named perils (only covered if listed). You will need to purchase contents coverage in an amount to replace all of your personal possessions. Loss of use will be a percentage of the contents limit. You will also need to purchase loss assessment. This covers you if you are assessed for a loss to common property that is not covered by the master policy. Only $ 1,000 of this can go to the deductible on the master policy. But, you should still purchase the $ 50,000 maximum (this is the maximum I’ve seen on most policies, if you can get more, get it). It will cost probably under $ 30 per year (depending where you live). Also, purchase at least $ 500,000 liability (this is VERY cheap, cheaper than the loss assessment in most cases) & $ 5,000 medical payments. You get what you pay for. It is cheaper to be properly covered in the event of a loss, then to be underinsured. Most condo policies I write are in the $ 200-300 range. If you need to skimp anywhere, take a higher deductible & maybe take less contents coverage. Take as much contents coverage as you need to get yourself some decent clothes & furnish your place with some average furniture.

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