Condo Insurance Explained: What Your HOA Policy Doesn't Cover

If you own a condo, you might assume your HOA's master insurance policy has you covered. It doesn't. The master policy typically covers the building's exterior and common areas, but everything inside your unit, including your personal belongings, interior finishes, and liability, is your responsibility.

What Is Condo Insurance?

Condo insurance, also called an HO-6 policy, is designed specifically for condo owners. It covers the gaps between what your HOA's master policy covers and what you actually need to be protected.

What Does an HO-6 Policy Cover?

A condo insurance policy typically covers your personal property (furniture, electronics, clothing), interior structures (cabinets, flooring, countertops, fixtures), personal liability if someone is injured in your unit, loss of use if your condo becomes uninhabitable, and loss assessments if your HOA levies a special assessment after a covered event.

Walls-In vs. All-In: Know Your HOA Policy

Before buying condo insurance, you need to understand what type of master policy your HOA carries. A "bare walls-in" policy only covers the structural elements of the building, meaning you're responsible for everything inside your walls, including drywall, paint, flooring, cabinets, and fixtures. An "all-in" policy covers the interior finishes as originally built, so you only need to cover your upgrades and personal property.

How Much Does Condo Insurance Cost?

Condo insurance is typically much cheaper than homeowners insurance because you're not insuring the building structure. Most condo owners pay between $300 and $800 per year depending on location, coverage amounts, and the building's characteristics.