What you Need to Know When Insuring Waterfront Condos in Key Colony
What you Need to Know When Insuring Waterfront Condos in Key Colony
One of the key differences between home and condo ownership is the insurance coverage. A typical homeowner is responsible for the whole home (inside and outside) and the land it sits on. Whereas if you own one of those gorgeous waterfront condos in Key Colony Key Biscayne, the HOA master policy covers any damage to the building’s common areas but you are the one responsible for the interior of your place.
Understand the Master Policy
Understanding the HOA master policy, what it actually covers or not cover, is very important if you’re planning to insure your unit and belongings. Part of the monthly dues you pay goes toward ensuring against physical damages on your building’s common areas - hallways, landscaping, community facilities, roof and exterior structure, etc - as well as personal liabilities claims caused by accidents in these areas.
There are two types of master policy: bare walls-in and all-in.
- The bare walls-in policy provides coverage from the exterior walls in. However, it doesn't cover fixtures and installations within your condo unit.
- The all-in condo insurance policy provides a greater level of interior coverage including installation and fixtures but may not cover upgrades and improvements made to the property.
If your HOA master policy is a bare walls-in variety, consider getting a more comprehensive insurance coverage since everything within your unit is your sole responsibility.
Know the Association Deductibles
Another thing you need to know is how expensive is the association deductible and how many owners will share that deductible. To put it simply, in an event that there’s an insurance claim through the master policy, all the condo owners are expected to equally share in the cost of the deductible for that claim. If there’s a major damage to the condo community’s buildings and the insurance master policy has a 10,000 deductible, the said amount will be spread across the total number of owners in the building.
Obtain an HO-6 Policy
Having a separate insurance for everything within the four walls of your Key Biscayne waterfront condo falls under your responsibility. You can get an HO-6 policy which will provide coverage for damages to your interior walls, drywall, wallpaper, carpeting and even personal property. It can fill in the gaps of the master insurance policy and cover losses under master policy deductibles.
If you have valuable possessions such as jewelry or art collections in your home, it would be helpful to have them itemized and appraised so you can gauge how much coverage you need and if there’s a need for an additional coverage.
Having a condo insurance is important in terms of protecting your interests and possessions. However, it’s important to note that rules differ from complex to complex, and it's crucial to obtain a copy of your HOA’s master policy to make sure you’ll be fully protected but not overly insured.
Contact a trusted insurance professional in the Key Biscayne area to learn more about condominium insurance, etc. You can also visit www.MiamiRivieraHomes.com if you’re interested to know more about the gorgeous Key Colony Key Biscayne beachfront condos.
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