When you’re living in a condo in Calgary, it’s easy to assume that a single insurance policy covers your property. After all, you pay your condo fees, which surely includes protection, right? The answer, however, isn’t that simple. As a condo owner, understanding the difference between your condo corporation’s insurance and your own personal condo insurance can make all the difference in protecting your property.
In this blog, we’ll break down the roles of both policies, explain how they complement each other, and highlight why you need both to keep your condo fully protected.
Personal Condo Insurance: Your Safety Net Inside Your Unit
Unlike the condo corporation’s policy, your personal condo insurance protects what’s inside your unit. This includes everything from your furniture to personal belongings, as well as protecting you from liability risks that could arise within your home. Also, you can get to know whether condo insurance can be mandatory for residents.
What Does Personal Condo Insurance Cover?
- Personal Property: Everything you own inside your unit, like clothes, electronics, furniture, and even jewelry. Your personal condo insurance helps you recover the cost if something is damaged or stolen.
- Personal Liability: What happens if a guest gets hurt in your condo? Or if you accidentally damage someone else’s property? Personal liability insurance protects you against such claims.
- Loss of Use: If your condo becomes uninhabitable due to an insured event (such as a fire or flooding), this coverage helps you pay for additional living expenses, such as hotel bills and meals.
Why You Need Both Condo Corporation Insurance AND Personal Condo Insurance
So, why can’t the condo corporation’s insurance do it all? The short answer: because it doesn’t cover everything. Many condo owners assume that the corporation’s insurance will protect or cover their personal belongings in case of a personal liability claim. That’s not the case.
Here are the critical reasons you need both types of insurance:
- Your Personal Belongings: The condo corporation insurance won’t cover your furniture, clothes, electronics, or other personal items. If something happens to your unit – say a fire or water damage – you need your own insurance to replace your personal belongings.
- Personal Liability: If someone gets injured in your unit or you accidentally damage someone else’s property, the condo corporation’s policy won’t cover the liability. Your personal condo insurance will.
- Internal Unit Improvements: Made some renovations? Updated the kitchen or installed custom flooring? The condo corporation insurance won’t cover those improvements in the event of a loss. Your personal condo insurance would.
How to Ensure You Have Adequate Condo Insurance Coverage
Now that you understand the differences between the two types of insurance, ensuring your coverage is adequate is essential. Start by:
- Reviewing Both Policies: Carefully read both your condo corporation’s master policy and your personal condo insurance to understand what’s covered and what isn’t.
- Working with Your Insurance Provider: Your personal insurance provider can help you assess your coverage needs. It’s essential to ensure your personal property limits reflect the actual value of your belongings.
- Considering Additional Coverage: Depending on your unit and lifestyle, you might need additional coverage, such as flood or earthquake insurance, which isn’t typically included in either policy.
Protect Your Home Inside and Out
Understanding the distinction between condo corporation insurance and personal condo insurance is essential to ensuring your home is fully protected. The condo corporation’s insurance covers the building and common areas, but your personal condo insurance fills in the gaps and covers your belongings, liability, and living expenses. These two types of coverage create a safety net that protects you, your property, and your financial future.
Don’t leave your condo unprotected. Get in touch with us today to find the right insurance policy for your condo and give yourself the peace of mind you deserve.