Condo Insurance (HO-6): What Your HOA Doesn't Cover

Buying a condo comes with a common and costly misunderstanding: that the HOA’s insurance covers everything. It doesn’t, and the gap is exactly what an HO-6 condo policy is built to fill.

The split: master policy vs. your policy

Condo insurance is divided in two. The HOA’s master policy covers the building and common areas. Everything from your walls inward is yours, and that’s where an HO-6 policy comes in.

The tricky part is that master policies come in two flavors, and which one your association carries determines how much you need to insure:

• “Bare walls”, the master policy stops at the studs. You insure all interior finishes, cabinets, flooring, and fixtures.
• “All-in” / single-entity, the master covers original interior finishes. You insure upgrades and personal property.

How much HO-6 coverage do you need?

Because the split depends entirely on your association’s master policy, guessing is how owners end up under- or over-insured. The right approach is to read your HOA’s declaration page, see exactly where the master policy stops, and size your interior (dwelling) coverage to fill the gap, plus your personal property, loss of use, and personal liability.

The surprise: loss assessment coverage

Here’s what catches condo owners off guard. If a big common-area loss exceeds the master policy’s limits, or the HOA carries a large deductible, the association can assess every owner their share of the bill. That can be thousands of dollars out of nowhere.

Loss assessment coverage on your HO-6 helps pay that assessment, whether it comes from property damage or a liability claim. We include a sensible limit so a special assessment doesn’t blindside you.

Your lender will require it

If you’re financing a condo, your lender will require proof of an HO-6 policy before closing. Send us your HOA’s master policy details and your closing date and we’ll have coverage and proof ready in time.

Get a condo quote

We write HO-6 condo insurance coordinated with your specific HOA master policy. Request a quote or call 830-415-4971.