When you buy a unit in a condominium building, you automatically get a master insurance policy from your condo corporation. This covers the common areas of the condo building and its structure. If a fire breaks out in the lounge area or if the lobby gets flooded, your master insurance will cover the repair costs for them.
But a master insurance policy can only go so far. It doesn’t cover the liabilities and damages that happen inside the condo units. This means that if a pipe breaks and floods your unit, you’ll be the one to pay for the repair, even if the damage wasn’t your fault.
This is where getting your own condo insurance will be of great help to you. The coverage of condo insurance differs per person, depending on the needs. But one thing remains constant—condo insurance will benefit you a lot. Here’s why.
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Benefits of Paying for Condo Insurance
More Coverage than Master Insurance
As mentioned above, condo insurance will cover all that you need outside of your condo’s master insurance.
Master insurance will protect the condo building, but it won’t protect your unit itself. And following this logic, it more or less means that you won’t have insurance on the property that you solely own. Did that somehow put things into perspective?
Here’s another way to think about it. Let’s say you have a visitor over and you’re playing with a ball. If your visitor suddenly kicks or throws the ball too hard and hits a window in the condo, the condo’s association can sue you or make you pay for the damage to the property.
You’re responsible for all the visitors you allow into your unit. Even if you weren’t the one who actually broke the window, you’ll be the one liable for it.
Without condo insurance, you’ll have to take personal liabilities such as this from your monthly budget. And if you’re living from paycheck to paycheck, it would be bad news for sure.
Preparation for Emergencies
Condo insurance also helps you prepare for all kinds of emergencies that might happen to your unit in the future.
If a wire in your unit short-circuits and causes a small fire, it could bring damage to your personal property. And since only your unit will be affected, the condo association isn’t obliged to cover it as your unit isn’t a common area in the building.
What happens then? You’ll be left to deal with the problem yourself. Having your own condo insurance lets you get ahead of emergencies like this. Sure, you might be paying more monthly for another kind of insurance. But the investment sure is worth it.
Peace of Mind
Another thing that condo insurance can provide you is peace of mind.
Let’s say you had a really hard day at work. And then you come home to find that someone has broken into your unit and has taken some of your belongings. Wouldn’t that be a bummer? You’ll even be more stressed out than you already are.
Also, if repairs are underway in your unit, you’ll need to stay someplace else in the meantime. You can go stay at a friend’s house for a few days or book a hotel while waiting for the repairs to be completed. Either way, you’ll still have to spend some money that might be out of your budget.
With condo insurance, you won’t have to worry about things like this. You’ll be able to sleep better at night knowing that you’re well-prepared for any condo-related expenses that might suddenly come up.
How Much is Condo Insurance in Alberta?
The monthly cost of condo insurance depends on your needs and the insurance premiums you avail of. You can choose to have all improvements to your unit insured, including floors, cabinets, and even wall coverings.
You can also insure all your furniture and appliances inside your unit. This is so that when they get damaged or stolen, your condo insurance will be able to take care of the costs.
When someone gets injured inside your unit or a broken pipe causes damage to your neighbors, condo insurance could also cover the related costs.
There are a lot of other things that you can choose to include in your condo insurance policy. Try to cover as much as you can. But also, remember to avail yourself only of the insurance premiums that you’d need. There’s no point in paying a large amount of money for your condo insurance if you only have a small unit and a few belongings.
Condo insurance costs also vary per region. You may have to pay more for condo insurance in Calgary than you would in a small town like Okotoks. The location also affects condo insurance rates around the world, especially if you’re buying in a competitive market.
There’s no fixed rate for condo insurance. But the average monthly cost in Canada is around $27–$33. Again, it could be much higher or lower depending on which insurance premiums you avail of.
Condo insurance adds to your monthly expenses. But you’ll be glad you have it, especially when conflicts start happening. Consult an insurance agent or attorney before availing of a personal condo insurance policy.
Ask for a copy of the things that your master insurance covers. Discuss them with a professional so that you can identify which insurance premiums you should get and those which you won’t need.
Condos in Okotoks
Image source: Griffin Real Estate
Planning to move to Okotoks? It’s close to Calgary but has a lower cost of living and a quieter environment. If you’re not ready to buy a single-family home, you might want to look into condos in the area first. They’re more affordable and convenient.
Ask the help of a realtor to find the right properties for you. Griffin Real Estate could also assist you with your condo insurance and help you find the best deals on the market.
What is condo insurance? It’s simply an additional policy you can avail of to insure your personal property and all your belongings inside your condo unit. Here’s why you should get personal condo insurance:
- It covers more than your condo association’s master insurance policy. It insures the unit itself and everything inside it.
- It prepares you for emergency condo-related expenses like repairs and personal liabilities. You won’t have to worry about where to get money to pay for urgent expenses since your condo insurance already covers it.
- It gives you peace of mind knowing that you’re well-prepared for condo-related issues. Having your unit insured sure lets you rest easy.