The strata council of your condo corporation provides protection for the strata building by purchasing insurance. Specifications on the original construction of the building are used to calculate the amount of insurance needed. If you, or any earlier owner of your condo has installed granite counter or hardwood floors for example, these modifications will not be covered by the policy owned by the condo corporation.
You're responsible for insuring the cost of any improvements that have been made to your unit. If you add building improvements protection to your condo owner insurance policy, you can be covered completely. If you choose not to buy building improvements protection, then any damage that may occur to your unit will be repaired to the original specifications of the building. In a case of a burst pipe, your strata's insurance company would only be required to install the original carpet or flooring, and they would not pay for your hardwood floors to be replaced.
Other types of building improvements that are commonly made, and you may want to protect, include the installation of wallpaper, crown mouldings, baseboards, closet organizers, and specialty lights or faucets. Your condo corporation's policy likely doesn't insure any fixtures in your unit. Fixtures would include any permanently installed lights, window coverings, etc. In some condo bylaws, glass that is part of the unit may not be covered. Fixtures and glass can be added to your own insurance by your insurance provider.
Some condo owners do not fully understand what is included in their condo property deductible assessments. Strata buildings are covered by most condo corporation's insurance policy, as we have stated. Damages caused by water, fire, or earthquake are typically covered by this insurance. As with most types of insurance, the strata's policy will contain a deductible.
As a unit owner, if the building suffers a loss, the condo corporation may assess each unit owner a portion of the deductible. Having condo deductible assessments protection can be highly beneficial if there is a case where your strata assesses the deductible to you as a single unit owner. For instance, if an earthquake occurs and you don't carry earthquake insurance on your condo unit owner's policy, you will not have coverage for your portion of the condo corporation's deductible, even if you've purchased condo deductible assessment coverage.
In order to have full peace of mind over your home and property, it's wise to get the most extensive protection that you can. The deductible could also be the responsibility of the homeowner if the loss or damage was somehow caused due to owner negligence of some kind. To illustrate this, let's imagine that damage was caused by a burst pipe behind the wall of your unit. This probably occurred randomly due to normal wear and tear, but the strata could come to the conclusion that you as the owner of the unit where the damage was initiated, are responsible.
Depending on your building, the condo corporation's deductible could range from $2,500 to $25,000. There are examples of this deductible being even more than $25,000. If you would like to know how much this deductible is, check the yearly general meeting minutes for your strata council, or simply ask a council member for the information. Depending on what kind of loss was incurred, the deductible could range in cost. Typically, the deductibles for water and earthquake losses are higher than that for fire losses. Protect yourself by including condo property deductible assessments on your condo insurance policy, and set a limit that suits your needs well.
You're responsible for insuring the cost of any improvements that have been made to your unit. If you add building improvements protection to your condo owner insurance policy, you can be covered completely. If you choose not to buy building improvements protection, then any damage that may occur to your unit will be repaired to the original specifications of the building. In a case of a burst pipe, your strata's insurance company would only be required to install the original carpet or flooring, and they would not pay for your hardwood floors to be replaced.
Other types of building improvements that are commonly made, and you may want to protect, include the installation of wallpaper, crown mouldings, baseboards, closet organizers, and specialty lights or faucets. Your condo corporation's policy likely doesn't insure any fixtures in your unit. Fixtures would include any permanently installed lights, window coverings, etc. In some condo bylaws, glass that is part of the unit may not be covered. Fixtures and glass can be added to your own insurance by your insurance provider.
Some condo owners do not fully understand what is included in their condo property deductible assessments. Strata buildings are covered by most condo corporation's insurance policy, as we have stated. Damages caused by water, fire, or earthquake are typically covered by this insurance. As with most types of insurance, the strata's policy will contain a deductible.
As a unit owner, if the building suffers a loss, the condo corporation may assess each unit owner a portion of the deductible. Having condo deductible assessments protection can be highly beneficial if there is a case where your strata assesses the deductible to you as a single unit owner. For instance, if an earthquake occurs and you don't carry earthquake insurance on your condo unit owner's policy, you will not have coverage for your portion of the condo corporation's deductible, even if you've purchased condo deductible assessment coverage.
In order to have full peace of mind over your home and property, it's wise to get the most extensive protection that you can. The deductible could also be the responsibility of the homeowner if the loss or damage was somehow caused due to owner negligence of some kind. To illustrate this, let's imagine that damage was caused by a burst pipe behind the wall of your unit. This probably occurred randomly due to normal wear and tear, but the strata could come to the conclusion that you as the owner of the unit where the damage was initiated, are responsible.
Depending on your building, the condo corporation's deductible could range from $2,500 to $25,000. There are examples of this deductible being even more than $25,000. If you would like to know how much this deductible is, check the yearly general meeting minutes for your strata council, or simply ask a council member for the information. Depending on what kind of loss was incurred, the deductible could range in cost. Typically, the deductibles for water and earthquake losses are higher than that for fire losses. Protect yourself by including condo property deductible assessments on your condo insurance policy, and set a limit that suits your needs well.
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