What Does a Standard Condo Insurance Policy Cover?
Learn how a personal condo policy protects what’s inside your unit and beyond
If you own a condominium, the building’s insurance doesn’t extend far beyond your front door. That’s where your personal condo insurance comes in. A standard policy provides essential protection for your belongings, any upgrades you’ve made, and your financial liability.
This matters when you think about everything you’ve put into your space. You might consider this the next time you upgrade your floors, buy new furniture, or host guests in your home.
The Core Protections of a Standard Condo Policy
A typical condo insurance policy focuses on what’s inside your unit and the responsibilities that fall to you—not the condo board. Here’s what most standard policies include:
-
Personal belongings
This includes furniture, clothing, electronics, appliances, and valuables inside your unit. Coverage applies if items are damaged or stolen due to covered risks like fire, theft, vandalism, or certain types of water damage. -
Improvements and betterments
Covers any upgrades or renovations made to the unit, such as custom cabinets, new countertops, hardwood floors, or lighting fixtures. These are usually not covered under your building’s master policy. -
Personal liability
If someone is injured while visiting your condo, or if you accidentally cause damage to another unit (like a water leak), liability coverage helps pay for legal expenses, medical costs, and settlements. -
Loss assessment
Helps cover your share of costs if the condo board issues a special assessment for repairs or deductibles not fully covered by the building’s policy. -
Additional living expenses
Pays for temporary housing, meals, and daily expenses if your unit becomes uninhabitable due to a covered event like fire or water damage.
| Coverage Type | What It Includes |
|---|---|
| Personal Property | Furniture, clothing, electronics, valuables damaged or stolen |
| Unit Upgrades | Flooring, finishes, fixtures, and renovations |
| Liability Protection | Accidents or damage for which you are legally responsible |
| Loss Assessment | Your share of condo-wide insurance gaps or high deductibles |
| Additional Living Expenses | Hotel stays, meals, and basic needs during displacement |
Note: Standard policies typically include limits on categories like jewelry, art, or collectibles. You can increase these limits or add riders if needed.
What’s Not Typically Covered
While standard condo policies are comprehensive, they do have limits. Most do not cover:
-
Structural elements already insured under the condo corporation’s master policy
-
Flooding, earthquakes, or sewer backup unless you add specific endorsements
-
Damage caused by wear and tear, mold, or maintenance issues
-
Business-related equipment or liability, unless disclosed
Caution: Many condo owners assume the building’s insurance covers everything inside their unit, but this is rarely the case. Always check where your building’s policy ends and yours needs to begin.
When to Consider Extra Coverage
You might need more than a standard policy if:
-
You’ve completed extensive renovations
-
You own high-value items not fully covered by standard limits
-
You live in a building with high deductibles that may be passed on to owners
-
You frequently host guests or short-term renters
Tip: Keep a record of upgrades and receipts for major purchases. It helps validate your coverage amounts and speeds up the claim process.
A standard condo policy is a strong foundation, but it should be tailored to fit your unit, lifestyle, and building’s coverage gaps. Knowing what’s included—and where the limits are—puts you in control of your protection.