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Description

Condos/Townhouses are insured under a special homeowner's form (HO6). This assumes that your association insures the dwellings (buildings). The association's policy either insures the buildings so that if (1) a unit is damaged or destroyed they would build it back as originally built when it was new or (2) build back but stop at the unpainted drywall. Obviously, the first policy is the best and you should find out which type of policy your association has purchased.

Dwelling coverage - since you own the condo or townhouse, you may from time to time make improvements that are permanent in nature; i.e. install ceiling fans, upgrade flooring, wallpaper, etc. Even if your association has the best policy on your buildings, they never do more than build the unit back as it was originally built. Most HO6's come with $5,000 coverage on the dwelling and this can be increased to cover all your improvements. If your association has the policy that stops at the drywall, you need to cover everything attached to every wall or floor such as carpet, toilets, cabinets, light fixtures, rods in the closet, etc.

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