Condo insurance can get a bit tricky at times because both your personal insurance and the condo’s commercial insurance are regularly involved. Read on for three of the worst case scenarios for condo insurance and how to manage them!
Flooding Caused by Your Neighbours
Claims that involve multiple parties are always a bit more difficult to manage. If you come home to water damage caused by a flood in your neighbour’s condo, you are not only going to be dealing with the liability component of your neighbours insurance, but the contents component of your insurance as well. Figuring out which company pays for what can sometimes take a while to sort out.
Condo insurance claims can be more difficult to deal because you’re regularly working with two insurance policies, and two insurance companies. If your unit experiences a roof leak, for example, the repair costs to your roof would be covered by your condo building’s commercial policy; however, any damages to the contents in your home would have to be claimed through your personal policy.
Burst Wall Pipe
A burst pipe in your condo can wreak havoc on your unit. Again, the real difficulty comes with knowing which insurance to go through. Structural damage should be covered by your building’s policy, while any damage inside your unit will be covered by your personal policy. If the pipe ends up causing damage to other units as well, things can get even more tricky!
How to Prepare
These types of events are usually completely out of your control – so how can you prepare yourself? The short answer is, know your policy. Aim to learn exactly what your personal condo insurance policy covers, and the claim submission process.
Tip: Make sure you know your insurance policy’s rules when it comes to leaving your home vacant. It’s not uncommon to see a stipulation in your policy that states your loss is not insured if you were away for more than five days and you didn’t have anyone check on your house. Ask your condo board for information on the types of things that are covered under the building’s commercial policy, so you know who you need to notify when an incident occurs. At the very least, knowing this info can help to relieve some of the stress associated with events like the ones described above!
Questions about condo insurance? Contact the team at Capital Insurance today!