Condo ownership is a unique situation for many property owners. While you own your home, you also live in an area where there is shared property. Who covers the insurance costs in these situations? Like most types of property owners, you should consider the value of adding flood insurance to the coverage you already have since it’s not routinely available in most standard types of home insurance or condo insurance plans.
Floods can happen anywhere and they can happen in your condo as well. For this reason, most condo owners should consider purchasing a separate and comprehensive flood insurance plan.
A key factor to keep in mind in regards to flood insurance is that most other forms of property insurance, such as traditional condo insurance, do not offer flood protection. As a result, flood insurance can help you to recoup the losses you face if a flood comes through. More so, even if your condo’s association maintains its own flood insurance plan, this will not cover your personal property and your possessions. It only applies to shared areas of the building. Again, you likely need to purchase your own coverage.
Are you in a high-risk area? Even if you are in a low to moderate risk area for floods, having this type of policy as a separate add-on to your current property insurance can minimize the costs you pay out of pocket if you face flood damages.
What Will Flood Insurance Cover?
Though policies will differ from one provider to the next, these insurance products tend to provide two main forms of protection. They cover the structure itself, including most types of built-in components such as your HVAC systems, carpeting and your hot water heater. They also cover personal belongings such as your clothing, valuables and electronics.
Keep in mind that you will set the amount of coverage you desire. Your policy can pay for your losses up to that amount, minus any type of deductible you have.
Flood insurance can be a very valuable investment for most condo owners. Don’t overlook the level of financial protection it can offer and the peace of mind it provides when a storm comes through.
Protect your property. Call Insurance Planning Service at (800) 220-5582 for more information on Michigan flood insurance.