ANSWER
For a condo, you need your own HO-6 condo policy for your unit, belongings, and personal liability, while the condo association’s master policy covers common areas and building parts. If you have a mortgage, the lender typically requires insurance, and flood coverage is separate if flood risk applies.
YOUR NEXT DECISION
Turn the answer into your next step
- Ask the condo association for the master insurance policy and any deductible or special assessment rules.
- Get at least one HO-6 quote that includes liability and loss assessment coverage options.
- If you have a mortgage, send the quote to your loan officer before closing.
- Check whether flood insurance is needed for the property location.
What to buy for a condo
A condo owner usually needs an HO-6 condo policy, not a standard homeowners policy for the whole building. The association’s master policy covers shared areas and building-wide property, while your policy covers your unit and your own property.
- HO-6 typically covers the inside of your unit, personal belongings, personal liability, loss of use, and sometimes improvements and upgrades.
- North Carolina law requires the association to carry property insurance on common elements and liability insurance in reasonable amounts, and the association may carry other insurance too.
- Ask the condo association for the master policy details so you know where its coverage ends and yours begins.
What to check before you bind a policy
Compare coverage amounts and deductibles, then confirm the policy meets your lender’s requirements if you’re financing the condo. If your unit is in a flood-prone area, separate flood insurance may be needed because standard homeowners coverage typically does not cover flood damage.
- Get quotes in writing and compare the premium against the deductible you choose.
- Share the quotes with your loan officer before closing so they can confirm the lender’s insurance requirements are met.
- Check whether loss assessment coverage is included or available, because it can help if the association charges owners for an uncovered claim or deductible.
Sources
KEEP EXPLORING
More University of North Carolina at Chapel Hill resources when you need them
Ask a follow-up about University of North Carolina at Chapel Hill
Ask a question to get the answer first. CH2 opens a tool or broader page directly only when you ask to use or view it.