Condominiums are multi-family homes that are very popular today. When you buy a condo, you are buying a home; however, you are only purchasing the inside of the home. The outside of the home typically belongs to the homeowner's association (HOA) that manages the community. Because of this, you will need to buy home insurance for your condo, but the insurance you purchase is slightly different from a single-family home insurance policy.

The HOA has a policy

The first thing to understand is that the HOA that manages the community will have a property insurance policy in place. This policy is called a master policy, and you will need to read this over carefully before you purchase insurance coverage for your condo. The type and amount of coverage you will need should be based on the coverage included with the master policy. It should also be based on your unique needs, and an insurance company will help you determine this.

Master policies come in two types

There are two main types of policies when it comes to master policies for condos. The first is called a bare walls-in type, and this is the type that covers only certain parts of the interior of the condos.

The second type is called an all-in type, and this generally covers a lot more than the first type. An all-in master policy will cover all your appliances, light fixtures, countertops, and floors in most cases. A bare walls-in type will not cover these types of things. It will only cover the main structural parts of the inside of your home.

You should choose your policy based on the type of master

If you find out that the HOA has an all-in policy, you will need less home insurance coverage for your new condo than you would if they offered a bare walls-in policy. When you call for an insurance quote, you will need to tell the insurance company which type they have. You will also need to tell them the value of the condo, the size, and the value of your personal belongings. All these factors will affect the amount of coverage you need and the price you will pay for the policy.

Buying a new house of any kind is exciting, but owning a home also means that you must have home insurance. To get a quote for coverage today, contact an insurance company of your choice, like Reinhardt's Insurance Agency.