For the condominium unit owner, there are several insurance concerns.
Does their condominium corporation have adequate insurance to cover anticipated property damage or physical injury caused in the building? Does it have coverage for mechanical or electrical breakdown? This is usually assessed before closing by your lawyer. Follow up with any information you receive from the corporation about renewal of insurance and what it covers.
The unit owner has to be concerned about what happens in their unit and obtain adequate insurance. Here are some types of coverage you may wish to consider and discuss with your insurance broker. Property and contents, this is not covered by the corporation, improvements to your unit may not be covered by the corporation’s insurance for a standard unit. If damage is caused to your unit and the corporation is at fault, they will only pay for a standard unit and not the ebony wood floors that took 12 weeks to be delivered and make your unit the feature of the latest condominium living.
If your tenant or guest causes damage to the common elements you will be held responsible so a policy covering guest/tenant liability may be in order. You may be held responsible for the corporation’s deductible on their insurance.
If you have to live at a hotel while your unit is being repaired may be covered by insurance.
It is often suggested that you use the same insurance company as your condominium corporation which may reduce a gap or delay in having your claim assessed.
You may have other concerns about your unit, so speak to your insurance broker who specializes in residential condos about a policy that will address your needs and potential losses.