What does condo insurance cover?
Condo insurance (HO-6) covers the inside of your unit, your personal belongings, personal liability, and additional living expenses after a covered loss. Your condo association's master policy covers the building and shared spaces but stops at your front door. Together, the two policies fill each other's gaps.
Key Takeaways
- A condo's association's master policy covers the building and shared areas, but it doesn't protect the inside of your unit or your belongings.
- A personal condo (HO-6) insurance policy helps fill the gaps of a master policy by covering your interior space, personal property, liability and additional living expenses.
- Most mortgage lenders and HOAs require condo owners to carry their own HO-6 policy.
- Standard condo insurance does not cover floods, earthquakes, wear and tear, or pest damage. Separate policies are needed for those risks.
As a condo owner, the last thing you want is to discover after a loss is that your insurance doesn't cover what you thought it did. Before an unexpected leak, fire, or theft turns into a financial nightmare, it's important to know exactly what your condo insurance protects.
What is condo insurance?
Condo insurance, also called an HO-6 policy, is a personal insurance policy designed specifically for condo owners. It protects the parts of your unit that your condo association's master policy doesn't cover, including your personal belongings, interior finishes, personal liability, and living expenses if your unit becomes uninhabitable after a covered loss.
Understanding condo insurance starts with understanding the two layers of coverage every condo owner typically relies on: the condo association's master policy and their own individual HO-6 policy.
What are the two layers of condo insurance coverage?
Condo owners are generally protected by two separate insurance policies that work together:
- The condo's association's master policy — covers the building structure and shared common areas.
- Your personal HO-6 condo insurance policy — covers the inside of your unit and your personal property.
| Condo insurance master policy typically covers: | Condo insurance (HO-6) covers: |
|---|---|
| The building's structure: exterior walls, roof, and foundation. | Interior finishes you're responsible for: upgraded flooring, cabinets, or appliances (depending on the policy). |
| Common areas: hallways, lobbies, stairwells, and shared amenities. | Your personal belongings: furniture, clothing, electronics, etc. |
| Exterior features: elevators, walkways, and shared mechanical systems. | Damage inside your unit: from things such as leaks, fires, or accidents that affect only your space. |
| Liability for shared spaces: injuries or accidents that happen in common areas. | Personal liability inside your unit: injuries that happen to guests inside your condo. |
| Original fixtures: unique/original cabinets or flooring (depending on the policy). | Additional living expenses: if you need to stay somewhere else during repairs. |
Knowing where one ends and the other begins is essential to ensure you're fully protected.
What does a condo insurance master policy cover?
The condo association's master policy is designed to protect the building itself and shared areas, such as the roof, hallways, elevators, and exterior walls. But that coverage stops at your unit's doorstep. Anything inside your condo, including your belongings and the interior features you're responsible for, typically isn't covered by the condo insurance master policy.
A condo insurance master policy will typically cover:
- The building's structure: exterior walls, roof, and foundation
- Common areas: hallways, lobbies, stairwells, and shared amenities
- Exterior features: elevators, walkways, and shared mechanical systems
- Liability for shared spaces: injuries or accidents that happen in common areas
- Original fixtures: unique/original cabinets or flooring (depending on the policy)
A condo insurance master policy won't typically cover:
- Your personal belongings: furniture, clothing, electronics, etc.
- Interior finishes you're responsible for: upgraded flooring, cabinets, or appliances (depending on the policy).
- Damage inside your unit: from things such as leaks, fires, or accidents that affect only your space.
- Personal liability inside your unit: injuries that happen to guests inside your condo.
- Additional living expenses: if you need to stay somewhere else during repairs.
These are the reasons most condo owners also carry their own individual condo insurance. It fills in the gaps left by the master policy, protecting you from unexpected damage or loss, and in many cases, it's required by lenders or HOA rules.
What does condo insurance (HO-6) cover?
A standard HO-6 condo insurance policy picks up where the condo insurance master policy stops. It's designed to protect the interior of your unit and your personal financial exposure.
A standard condo or HO-6 insurance policy typically provides coverage for:
- Your personal belongings: furniture, clothing, electronics, décor
- Interior features that you're responsible for: flooring, cabinets, appliances, and upgrades
- Personal liability: if someone is injured inside your unit
- Loss of use: hotel or living expenses if your unit becomes uninhabitable after a covered loss
- Interior damage: from events such as fire, smoke, theft, or certain types of water damage
- Loss assessment coverage: your share of certain HOA-related losses (when included)
A standard condo or HO-6 insurance policy will not provide coverage for:
- The building's structure: exterior walls, roof, foundation
- Common areas: hallways, elevators, lobbies, shared amenities
- Damage covered by the master policy: anything the HOA is responsible for
- Floods and earthquakes: you'll typically need separate policies for these risks
- Wear and tear: aging, maintenance issues, or neglect
- Pest damage: termites, rodents, or similar infestations
Am I required to have condo insurance?
Whether condo insurance is required depends on two factors: your mortgage lender and your HOA.
- Mortgage lenders typically require an HO-6 policy if you have a loan on your condo. Because the lender has a financial interest in your unit, they want the interior to be insured.
- HOAs often require owners to carry individual condo insurance to ensure that any gaps left by the master policy are covered.
Even if neither your lender nor your HOA requires it, carrying your own condo insurance is strongly recommended. The master policy will not protect your personal belongings or the interior features of your unit.
How much does condo insurance cost?
Condo insurance generally only costs a few hundred dollars per year, but the exact amount will vary depending on your location, coverage needs, and the insurer. According to the Insurify, the national average for an annual condo insurance premium is $652.
Frequently Asked Questions About Condo Insurance
What is the difference between a master policy and condo insurance?
A master policy is purchased by the condo association and covers the building structure and shared common areas. Condo insurance (HO-6) is purchased individually by the unit owner and covers the interior of the unit, personal belongings, and personal liability.
Does condo insurance cover water damage?
Condo insurance typically covers certain types of water damage, such as a burst pipe or accidental overflow, but it generally does not cover flood damage.
A separate flood insurance policy is needed for flood-related losses.
Does condo insurance cover theft?
Yes. A standard HO-6 condo insurance policy typically covers theft of personal belongings both inside your unit and, in many cases, away from home.
Is condo insurance the same as homeowners insurance?
No, condo insurance is not the same as homeowners insurance. Condo insurance (HO-6) is specifically designed for condo owners and covers the interior of a unit and personal property. A standard homeowners insurance policy (HO-3) is designed for owners of single-family homes and covers both the structure and personal property.
What does loss assessment coverage mean in condo insurance?
Loss assessment coverage helps pay your share of a covered loss that the condo association charges back to individual unit owners. For example, if a shared area is damaged and the master policy doesn't fully cover it, loss assessment coverage can help cover the additional costs.
Written by Kathryn Messer
Kathryn Messer is an insurance and financial services copywriter with more than 25 years of hands on industry experience. A fully licensed P&C and Life & Health broker, she has worked as an independent agency owner, commercial risk manager, and financial and investment adviser. She holds CIC, CPCU, CFP, and LUTC designations. Her writing is grounded in real world knowledge of insurance operations, regulatory complexity, P&C claims, insurance technology, and sales—giving clients a true subject matter expert with no learning curve.
Edited by Jess Feldman
Jess Feldman is an Editor of Liberty Mutual Resources, the company's consumer-focused insurance hub. She brings more than a decade of experience in content strategy, editorial management, and instructional communication, with a focus on translating complex, YMYL (Your Money or Your Life) topics into clear, accurate, and actionable resources for consumers. Prior to Liberty Mutual, she served as Content Manager at Course Report and Editor at ParksByNature Network. She holds an M.F.A. in Writing and a B.A. in English from the University of New Hampshire.
