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Apartments & Condo Associations Insurance

Owning apartment buildings and condo complexes can be extremely lucrative. It also carries no small degree of risk, which is why it is critical for owners to invest in quality insurance protection from a provider who understands the innate differences between condo owners and those who own apartment buildings.

Apartment Building Insurance 

Apartment building owners need more extensive coverage than the average condo owner. Mainly since the apartment owners are responsible for everything the apartment provides. This includes the basics as well as a few additional items you might not realize at first, such as:

  • Floor coverings
  • Fixtures
  • Wallcoverings
  • Ceiling materials
  • Cabinetry
  • Windows
  • Doors
  • Countertops
  • Appliances

You are responsible for replacing these things in all units affected by the event (fire, wind, vandalism, etc.).

Additionally, apartment complexes have public spaces such as hallways, elevators, clubhouses, management offices, maintenance equipment storage, pools, dog parks, playgrounds, etc.

Your insurance needs to provide sufficient protection for them, as well. Depending on your insurance provider, for instance, you may need to have specialized protection if you allow dogs or have swimming pools.

The list is longer than you think, and the more perks you offer your tenants, the higher your insurance protection needs may be. Plus, you need to have the right liability policies in place to ensure you are adequately protected if someone is injured on your property.

Working with professionals who have intimate knowledge of the local and surrounding area, as well as your needs as an apartment owner, can make a world of difference for your protection and peace of mind.

Condo Building Owner Protections

Condos differ from apartments in many ways. Rather than renting units, condo owners purchase their individual units, and you manage and maintain the public spaces. Condo owners often pay fees each month to help contribute to the continued care and upkeep of the property, but they do not provide insurance protection for the public spaces you own and manage.

A condo association master insurance policy should conform to the declaration or bylaws of the condo association, which can have several scenarios.

For instance, the condo association bylaws may state that the condo association may be required to provide “all in” insurance coverage.  This includes the entire building, plus common elements (such as swimming pools, clubhouses, parking lots, etc.), improvements made, and the condo units themselves. Many carriers, however, won’t provide “all in” coverage.

In other cases, the association’s bylaws may state the association covers the units and common elements, but not improvements made to a condo unit by the owner. Still, another scenario is the coverage of “bare walls”, where the association only covers the common elements, and all aspects of the condo unit are the responsibility of the owner.

It’s important to know what the bylaws state, and that you have the proper coverage.

The bottom line is that you need to make sure you have the right kind of protection to cover your investment and per your condo association bylaws.

Insurance Protection for Condo and Apartment Building Owners

As a condo and apartment owner, you also need to make sure you have business insurance protection and liability coverage to protect your interest. Damage to your buildings interferes with your ability to conduct business, making vital protection, like business interruption coverage, essential.

Other types of protection you may need for the business aspect of your apartment and condo include:

  • Crime insurance
  • Liability insurance 
  • Umbrella insurance 
  • Building ordinance coverage (which helps when upgrades are required when repairing your building so that it complies with current city codes and ordinances).

We can help you get the protection you need for the business you operate as well as the property you own.

Let our experience and knowledge help you get the right protection for your situation, whether you own an apartment building, a condo building, or both.

Why Generazio Associates, Inc. Insurance? 

As an independent agency, Generazio Associates, Inc. has been serving the home, auto, and business insurance needs of area residents since 1971.

With nearly half a century of experience under our belt, we work with you to identify your coverage needs and then offer options from our extensive list of insurance providers.  Contact us today.