Did You Know The Insurance Provided By Your Condo Association Does Not Cover You

If you own a condo in New Jersey, it is important to protect yourself and your unit by investing in condo insurance NJ. Many condo unit owners assume that their unit is covered by the fees they pay monthly to the association. While the association does pay for insurance with these monthly dues, the insurance provided does not cover you or your unit. Understand how condo insurance can protect you against unforeseen losses and do not risk being a property owner without insurance.

Building Coverage

Your condo association policy will cover certain parts of the dwelling. While the primary policy will pay to rebuild the frame of the structure, the inside of your unit is not covered. This means you are left with the burden of replacing drywall, flooring, fixtures and cabinetry. If you add up the cost of these materials, you could end up spending a pretty penny just to make your condo livable. Condo insurance will pay to replace permanent materials in the unit. You will need to sit down and discuss the cost to rebuild to come up with an adequate figure. Most insurance agents recommend between 50 and 100 dollars per square foot.

Personal Property

Everything you own inside of your condo that is not permanently fixed to the unit is considered personal property. If your belongings are damaged or destroyed in a covered loss, the association policy does not pay for replacement. They have no interest in your personal belongings. Condo insurance NJ includes personal property coverage. You will need to inventory your property and calculate an estimated value. You may also schedule valuables and antiques with an appraisal.

Liability

When you own a property, chances are you have equity in the property. If someone is injured in or around your premises and they claim you are negligent for their injuries, they have the right to sue you. If you do not have liability coverage, you could end up paying thousands of dollars for legal defense. If the injured party is awarded a judgement, your wages could be garnished or your home could be taken. Choosing not to carry liability insurance is a very serious risk. Do not leave yourself vulnerable and invest in condo insurance. The insurer will pay for legal defense and will pay for settlements up to the limits stated on your policy.

In today's turbulent economy, many individuals eliminate bills that are not essential. Condo insurance NJ should be considered a requirement and not an option. Without it, it could be extremely difficult to rebuild your life. Obtain quotes and combine your auto insurance and property insurance with one insurer. When you do this, the discounts practically pay for the policy in full.

For more information Visit our blog or go directly to our website.