Insurance Coverage
- Thread starter Millions
- Start date
- Joined
- Aug 30, 2007
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- 13,879
yes to content assuming basic small condo
no re liability .. as the BIG issue is damage to other suites below/around you from water or fire ...
no re liability .. as the BIG issue is damage to other suites below/around you from water or fire ...
Thanks Thomas!
I checked the application
It's also good for 1 Million in liability..... I take it thats fine?
I heard of other suites in the past having the water heater bust... so I was mainly nervous of having to replace flooring, etc if it ever happened
I checked the application
It's also good for 1 Million in liability..... I take it thats fine?
I heard of other suites in the past having the water heater bust... so I was mainly nervous of having to replace flooring, etc if it ever happened
- Joined
- Oct 10, 2007
- Messages
- 4,730
Depends on condo
$15K might be a bit low for some
$15K might be a bit low for some
- Joined
- Mar 15, 2008
- Messages
- 510
Hi Mathew;
It really depends specifically on the unit.
In Ontario - and I realize you are based on Alberta - condo corporations hold capital insurance. Capital insurance has two components - liability and fire insurance coverage that restores the unit to its ORIGINAL state with ORIGINAL(or today's equivalent standard) finishing materials.
If your unit has an upgraded kitchen or bathroom, it is likely that $15,000 would not be enough (the condo corporation's coverage, in event of loss, as an example, would provide a base kitchen/bathroom, not an upgraded one). On the same token, I have some clients that feel they are adequately covered by the condo corporations and policy and do not take out ANY supplemental coverage.
On another note, if you are looking for supplemental coverage there is something called co-insurance (in Ontario - I am sure the concept holds true in Alberta). What this means is that if you sustain a loss, and the insurance company feels you were underinsured, they pay amout based on the percentage of the claim. As an example, if you should have been covered for $30,000 (as opposed to $15,000) they will pay 50% of the loss. A good shock for the policy owner...
Without a doubt, its best to consult with an insurance broker.
Mike
It really depends specifically on the unit.
In Ontario - and I realize you are based on Alberta - condo corporations hold capital insurance. Capital insurance has two components - liability and fire insurance coverage that restores the unit to its ORIGINAL state with ORIGINAL(or today's equivalent standard) finishing materials.
If your unit has an upgraded kitchen or bathroom, it is likely that $15,000 would not be enough (the condo corporation's coverage, in event of loss, as an example, would provide a base kitchen/bathroom, not an upgraded one). On the same token, I have some clients that feel they are adequately covered by the condo corporations and policy and do not take out ANY supplemental coverage.
On another note, if you are looking for supplemental coverage there is something called co-insurance (in Ontario - I am sure the concept holds true in Alberta). What this means is that if you sustain a loss, and the insurance company feels you were underinsured, they pay amout based on the percentage of the claim. As an example, if you should have been covered for $30,000 (as opposed to $15,000) they will pay 50% of the loss. A good shock for the policy owner...
Without a doubt, its best to consult with an insurance broker.
Mike
- Joined
- Dec 17, 2007
- Messages
- 55
As stated above fire or water damage could easily exceed $15K depending on the condition/type of unit you have. I would suggest that for the cost you are actually under insured based on the following:
Your quote is $130/yr or ~$11/month (from other post)
We pay $240/yr or ~$20/month
Your saving $110/yr or ~$9/month which will be quickly erased if damage exceed $15K by even $1-2K.
So what do we get for our extra $9:
The same $1M liability that you have, so no difference.
We have $100K restoration for damage, almost 7x more coverage.
We also have additional $5K content insurance which many rental unit insurance policies don't include.
As a landlord you don't have any content at your unit so your tenants get renters insurance to cover themselves and everyone is good right? Maybe, read the fine print and be sure that appliances are not considered contents as they are removable and may not be included.
For me the $9 doesn't effect operating cost enough to override the additional coverage we get but ultimately its up to the individual and what they feel comfortable with.
Your quote is $130/yr or ~$11/month (from other post)
We pay $240/yr or ~$20/month
Your saving $110/yr or ~$9/month which will be quickly erased if damage exceed $15K by even $1-2K.
So what do we get for our extra $9:
The same $1M liability that you have, so no difference.
We have $100K restoration for damage, almost 7x more coverage.
We also have additional $5K content insurance which many rental unit insurance policies don't include.
As a landlord you don't have any content at your unit so your tenants get renters insurance to cover themselves and everyone is good right? Maybe, read the fine print and be sure that appliances are not considered contents as they are removable and may not be included.
For me the $9 doesn't effect operating cost enough to override the additional coverage we get but ultimately its up to the individual and what they feel comfortable with.