Unless you buy it separately, you DON’T have Condo Insurance!

Prospective Condo buyers often think that because the word “insurance” is built into a list of items covered by their “condo fees” that they don’t have to worry.

The Condo Corporation will often have insurance for the overall building and common areas, like elevators or front lobby – but this insurance will only offer limited protection for your unit, personal belongings, upgrades or your legal liability to others.

Personal condo unit owners insurance is needed to protect your personal property, parts of your unit not covered by the Condo Corporation’s insurance and to protect you against liability if you unintentionally cause property damage or bodily injury to others.

Many condo owners don’t know or incorrectly assume their building’s insurance will cover damage to another unit from water or fire that originated in their unit.

Asking the right questions about insurance liability when purchasing a condo can help keep condo owners out of serious financial risk.

Condo Insurance 101
Here are some helpful tips and key questions to ask your condo board or the management company when buying a condo:

Policy Coverage:

• What does the building’s insurance policy cover and not cover?
• Do they require all owners to purchase personal condo unit owners insurance?
• Do they have an outline that explains what portions of your unit are not covered by their insurance?
• How long has it been since the condo corporation’s insurance premiums went up, and how frequently do they go up?
• Has the cost of the condo corporation’s insurance premiums ever gone down?
• What is the deductible on your condo corporation’s policy for damages to the building’s common areas?
• Has the condo corporation ever raised the deductibles on their insurance?

Policy Claims:

• Who is responsible for damages to your unit as a result of flooding or fire that occurs in a neighbour’s unit?
• Who is responsible for the cost to replace items stolen from common areas like the lobby or exercise room?
• Who is responsible for repairs if your car is damaged in the parking lot?
• Who is responsible for damage caused by flooding of your storage locker?
• Once you have answers to these questions, speak with your insurance broker to ensure you have the right coverage for your needs.
• Condo insurance through Wyatt Dowling includes:
• Coverage for betterments and improvements, including upgrades (built-in sound system, custom counters, etc.) to your unit that may exceed standard condominium corporation insurance limits;
• Unit Contingent Coverage which insures your unit so you are protected if your condominium corporation’s insurance is insufficient; and,
•  Loss Assessment Coverage (to a standard limit) to cover major property and liability losses on common property (i.e., swimming pool, laundry room, fitness room, etc.) when a special assessment is levied against you and other unit holders. This provides protection in the event you are assessed a portion of loss due to the corporation’s deductible. 

Choosing the right amount of coverage for your personal belongings
When choosing the amount of coverage for your personal belongings, you should determine what it would cost you to replace everything you currently own in your unit. It’s a good idea to keep a home inventory list of all of your personal belongings, room by room. Expensive possessions like jewelry, furs and antiques may require extended coverage to cover their full value. Check with your broker to learn more.


About Wyatt Dowling Insurance Brokers
Wyatt Dowling Insurance is one of Winnipeg’s leading providers of home and auto insurance, serving Manitoba for over 70 years. The company strives to have customers “Leave your worries at our door.” Wyatt Dowling is committed to making a positive difference in the communities in which it operates and has partnered with organizations such as CNIB (Canadian National Institute of the Blind), United Way and various others. To learn more about Wyatt Dowling, find out more about condo insurance or get a quick and free online quote visit www.wyattdowling.ca/condo/