I own a condominium unit and the condominium association has insurance.  Do I need my own policy?

The condominium association maintains insurance to insure the common areas. In the Master Deed the common areas are defined as all parts of the building and the land that are not part of the unit. The unit generally includes the finished facings of the walls, ceilings and floors as well as the bathroom and kitchen cabinets and other fixtures in the unit. Most master insurance policies to cover those portions of your unit. However they do not cover your furnishings, clothing, works of art or other items of personal property located within your unit. Similarly the master insurance policy will cover liability with respect to the common areas of the condominium. However it does not cover the interior of your unit. So, for instance, if you go into a cooking frenzy in sprayed the Pam on the kitchen floor and your neighbor comes in to borrow a cup of sugar and slips and falls and breaks her back you would be personally liable for that injury unless you have insurance to cover it. So you should get a unit owners policy to cover your personal property in your unit for casualty insurance (and also the finished facings of the unit if not covered by the master insurance policy ) and you should have liability insurance to cover the interior of your unit in the event that someone gets injured as a result of your negligence. You should inquire of the agent who provides the master insurance policy about a unit owners policy. You are generally better off using the same company that insures the common areas so they will not be a fight between the master insurance policy provider and the unit owners policy provider as to which companies should bear the loss in the event of a casualty loss.

If you have questions about this or any other real estate matter, please contact Tom Bennett at (617) 531-6574 or tvb@barronstad.com.