Condo insurance is protection for your condo if disaster should strike, just like homeowners insurance is for the homeowner, and you need the right kind of insurance for the dwelling where you live.

Those who live in a condominium are also a member of their condo associations insurance policy. Condominium insurance may or may not be required for you to live in your unit, but in any case, it provides coverage for everything that is not included in the condos association insurance policy.

Your condo association could be using one of three policies.

A corporate policy that insures only the common areas and the primary building.
A policy that insures the entire building as well as your individual unit. They also cover any fixtures or physical improvements you make to your unit while you live there.
A policy that insures the building, the permanent items in your unit, but not personal belongings.

How to Determine the Value of Your Belongings

Once you know the value of your belongings, you will know the coverage that you need in a policy. For someone who hasnt done this, youll want to take an inventory of your belongings, including computers, TVs, electronics, furniture, clothes, jewelry and anything of value like an art collection or musical instrument. Take pictures of these items so that if they were stolen or destroyed in a fire, you could obtain replacement value. The completed inventory and pictures should be stored somewhere outside of the condo.

When you talk with an agent, they will help you evaluate the cost of items at todays cost, and the replacement for complete replacement in the future. Your commitment to collecting and completing your inventory is the most important work youll need for your insurance.

Condo Insurance Discounts

Just like homeowners insurance, there are discounts that can be applied to reduce your premiums for condo owners. Adding new security devices and maintaining a claim-free history are two ways to reduce premiums, bring peace of mind to you and your family year round.