What is a homeowners association?

If you purchase a condominium (condo), you have joined a homeowners association or commonly referred to as a HOA. The condo owners are all members of this HOA and they elect a Board of Directors who establishes rules, maintain the exterior of the building, grounds and amenities located in the common area and enforces those established rules.

HOA insurance

The HOA will purchase insurance to comply with

the HOA’s bylaws that typically require the HOA to insure the building “shell”.  The “shell” includes all exterior walls, roof and the framing of the floor between units. The most common error is that the HOA insurance policy insures the interior of the condo units and only in rare situations is this true.

Does the Condo unit owner need insurance?

YES! Each condominium unit owner should purchase a condominium unit owners policy, in Texas this is sometimes referred to as a HO-6 policy. Purchasing this insurance policy is extremely important if you live in the unit or rent the unit to another person(s). The HO-6 policy will provide you with money to rebuild the interior of your condo, replace appliances, wiring, plumbing, fixtures, cabinets and personal property such as furniture, clothing, electronics, jewelry, watches, furs, bikes, camera equipment, etc. The HO-6 policy will include liability protection for you and your pets.

Does the HOA insurance cover renovations in my unit?

Remodeling your home is a fun and exciting task but it comes with concerns. Most insurance policies exclude insurance coverage if the home / condominium is under construction or being remodeled. Therefore it is important to purchase a builders risk insurance policy. This policy will provide you with the necessary coverage to protect the interior of your condominium and for materials in your possession and during transit.

Are there limits to the HOA’s insurance policy that I need to be aware of?

All insurance policies have limitations and exclusions and the HOA’s insurance policy is no exception to this rule. When purchasing your HO-6 policy to protect the interior of your cadmium it is important to have the policy endorsed with Condominium Loss Assessment coverage. Should your HOA experience a major loss and there is insufficient insurance money/funds to pay for the loss. Each unit owner will receive an assessment of his/her share of the cost. With the Condominium Loss Assessment endorsement your HO-6 policy will pay your share up to a pre-selected limit. Typically this limit does not exceed $50,000.

Can My HOA specify how much and what type of insurance I have on my condo?

Some HOA’s do specify what coverage is required by each unit owner. Most however, leave this up to each individual unit owner. Therefore it is important that you find a knowledge independent insurance agent to assist you with your condominium insurance.

Get your condo insurance quote

With over 50 years of combined experience the Steven Graves Insurance Agency is ready and able to assist you with your insurance needs. Our qualified staff has extensive experience providing condominium unit owners with proper coverage for their condo’s, cars, umbrella, life and health insurance policies. Representing over 30 home & auto insurance companies we can help you find a company that meets your needs and protects your financial future.

Now you are ready to call Steven Graves Insurance Agency at 214-599-0808 for your insurance needs.

Each condominium unit owner should purchase a condominium unit owners policy, in Texas this is sometimes referred to as a HO-6 policy. Purchasing this insurance policy is extremely important if you live in the unit or rent the unit to another person(s). The HO-6 policy will provide you with money to rebuild the interior of your condo, replace appliances, wiring, plumbing, fixtures and personal property such as furniture, clothing, electronics, jewelry, watches, furs, bikes, camera equipment, etc.