by Sa El

May 13, 2024

What Is Condo Insurance?

“in Plain English” 

Condo insurance, often known as H06 Insurance, is protection against a covered loss for your condominium. You don’t own the building or land on which your unit is located when you purchase a condo; nevertheless, you do own everything inside the condo, including the internal walls. This is where personal property insurance comes in handy because you aren’t renting the apartment and you don’t really own the structure; therefore, you will need coverage for personal items, liability, loss of use, and personal electronics.

How Much Does Condo Insurance Cost?

The average cost of condo insurance is about $478 per year, this is just shy of about $40.00 per month. Now, keep in mind that this is a national average and that the cost can vary depending on where you live, your deductible amount, and the other limits you choose.

What Factors Determine The Cost Of My Condo Insurance Policy?

  • The Age Of Your Building – The age of your building affects your policy costs. How old is the plumbing? Is the wiring copper or aluminum?
  • The Location Of Your Condo – The location of your home is one of the largest factors insurance companies use to price out your policy.
  • Your Credit History – You might not be aware of this but you have a completely separate credit score that was made specifically for insurance products. The better this score, the lower your rates. 
  • Coverage Levels – Your insurance company will give you several coverage options. This amount varies based on your choices. Most of these options can be adjusted. 
  • Deductibles – This is another option that you can adjust to suit your financial needs. A deductible is the amount of money you must pay before insurance kicks in and pays out.
  • Discounts -Everything from bundled policies, military discounts, or corporate rates can lower the average cost of homeowners insurance as well as things like making your home safer.

Sample Condo Insurance Quotes By Coverage Amount

On average, a condo insurance policy for $150,000 to $175,000 in coverage is going to run you about $35.00 per month.  Houses in the range of $400,000 to $500,000 will run you about $122.00 per month. We cover more sample quotes below: 

What Does Condo Insurance Cover?

It’s essential to understand what your condo insurance policy will actually cover, below we go over everything a condo policy covers:

Personal Property

The most important aspect of a condo policy is the coverage of your personal property, if your items are stolen or destroyed by a covered loss such as fire or water damage, your items will be covered. 

These policies will usually cover your items on a replacement cost basis, which means the insurance company will pay out what it would cost to replace your item today; not the price of what you originally paid for the item.

Personal liability

If you have ever found yourself watching an episode of Judge Jerry, (Yes, Jerry Springer has a show as a judge now) you might find it odd that family and friends sue each other. 

This is exactly why you  need this type of coverage; if your friend or family member is injured inside your unit, condo insurance will help pay for their medical expenses and protects you financially if they decide to sue.

Damage to Interior structure

The one thing you have to remember is that when you buy a condo, you only own what’s inside the unit. 

This means you still need coverage for your walls, floors, ceilings and counter-tops and these items are specifically covered by your condo insurance.

Loss Of Use

If you can no longer live in your unit because of damage caused by a covered loss, your policy will help cover your living expenses such as a hotel and traveling costs, while your unit is being repaired. 

Loss Assessment

If a common area is damaged by a covered loss, and there aren’t enough funds to cover it within the HOA, each unit owner will be responsible for covering their share of the loss.  

This is where loss assessment coverage kicks in by taking care of those expenses. 

Now that we have a clear understanding of what condo insurance will cover, let’s talk about what it won’t cover.

What Condo Insurance Doesn’t Cover?

While condo insurance does cover a ton of things, there are still a few items that won’t be covered by your condo insurance policy:

  • Floods
  • Earthquakes 
  • Wear And Tear
  • Nuclear Hazards
  • Intentional Injuries To Others
  • Damage From Birds, Rodents And Insects
  • Damage From Underground Water (Like Sewer Backups)

What If You Need Landlord Insurance For Your Condo? 

Often called buy-to-let home insurance, a Landlord Insurance Policy is insurance for people who rent out a home they own to a tenant.  It provides a layer of extra protection because it treats your rental properties as a business.

You don’t have to think too much about the type of coverage you will need, most online quotes will ask what type of home you are insuring so you will have the correct policy.

How Much Condo Insurance Do I need?

Most condo insurance policies come with a minimum of $100,000 in coverage, and on a condo with a mortgage, they usually cover up to the value of your condo un it. However, you should have at least $300,000 to $500,000 if you can afford it. The final amount of homeowners insurance that you need is going to depend on the costs of replacing several things: 

Your Home Office

The equipment inside of your home office can’t be forgotten about either. Our home offices are just as equipped as actual offices now days so be mindful of the costs.

Refurnishing Your Home

It’s easy to stack up over $25,000 in furniture when you think about furnishing your home with dining sets, bedroom sets and other types of chairs and ottomans.

Things Like Art

While some people collect coins and stamps, others (like myself), have an action figure collection. Anything that is considered to have Exceptional Value should be covered.

Your Personal Property

Things like your clothes, shoes or other personal property should be accounted for. You don’t want a policy that can’t cover all of your personal items due to a covered loss. 

Use Our Calculator For Extra Help

We created a pretty cool condo insurance calculator that you can use to get a more solid understanding of how much coverage you need. 

When you are deciding on how much home owners insurance you need, it’s best to act like a detective. You should also determine if you have specific risks like an exotic pet.

Along with the other factors above, come up with a number and if you can afford it, double the amount of coverage, if not, you still have a great starting point.

What Are The Best Condo Insurance Companies?

In my professional opinion, as a licensed agent for over 13 years, the best companies for homeowners insurance are Hippo, Lemonadeand Progressive.

All of them offer an online application process, no waiting periods, and prices that are comparable or sometimes better than the industry standard.

They also have accelerated underwriting processes that allows you to get an instant decision and be covered in minutes.  

hippo logo large

Super Fast Quotes

Instant Online Coverage

Free Water Leak Sensor

No-Cost Additional Coverage

Check out our Hippo review

lemonade logo large

Instant Online Coverage

Earthquake Insurance Rider

Lemonade Gives Back

The Zero Everything Service

Check out our Lemonade review

progressive commercial insurance logo

Amazing customer reviews

Discounts for bundling

Easy online chat options

Widespread coverage

Check out our Progressive review

No sure where to start? We review the best homeowners insurance companies for 2021.

Condo Insurance Vs Home Insurance & Renters Insurance

When it comes to owning a condo or a home and renting a home there is a lot of confusion misunderstanding about what homeowners insurance covers, what condo insurance will cover, and when someone will need renters insurance. 

While all of these types of overages will have personal property insurance attached, cover personal liability, and have a replacement cost option, they are three completely different types of insurance coverage and also offer different insurance discounts.

Condo Insurance

Condo insurance is only for your personal property and internal structures, your condo policy will cover:

  • Personal Property
  • Personal Liability
  • Medical Coverage
  • Loss Of Use Coverage
  • Loss Assessment Coverage

Homeowners Insurance

Homeowners insurance is the best defense you can give your family from a disaster and usually covers:

  • Personal Property
  • Personal Liability
  • Medical Coverage
  • Loss Of Use Coverage
  • Loss Assessment Coverage

Renters Insurance

Renters insurance is only for your personal property, your renters policy will usually cover:

  • Personal Property
  • Personal Liability
  • Medical Coverage
  • Loss Of Use Coverage
  • Loss Assessment Coverage

As you can see, these policies have just enough differences to make them all necessary, if you own a condo, you will need a condo policy, for your home a home policy and if you are renting, a renters policy. 

How To Buy Condo Insurance Online?

Buying condo insurance online has never been easier; regardless of whether you are getting insurance on your first home or looking for lower rates, you can get quotes and coverage in minutes.

Believe it or not, it’s only five steps to go from quotes to being covered:

  • Gather Your Personal Info – You will want to have information about your home “in-hand” so that you can get the most accurate quote.  Things like age, size, and value of home.
  • Get An Instant Quote – Once you have the information on your home together it’s time to get a fast quote.  Most companies will show you a “Good, Better, Best” layout with the ability to customize your policy.
  • Choose Your Policy Options – After reviewing the quotes, you should look over the coverage amount and policy deductibles to make sure you have the options you need for your policy. 
  • Complete An Online Application – Once you have viewed your quotes and picked out your policy options it’s time to complete your application.  You can usually do this in one sitting (less than 10 minutes)
  • Pay For Your Policy (You’re Covered) – Upon submitting your application your next step will be to pay for your policy so that it goes “in-force,” and then You’re covered!  

Why Trust Simply Insurance?

We make things simple. At Simply Insurance, you get to compare only the top online home insurance companies. We’ve done all the hard work and picked out the top companies so that you don’t have to go through all of the top insurance companies in the nation… I mean, no one really has time for that. 

Years of licensed experience. As licensed agents, we help our customers navigate the entire insurance buying process. We don’t work on commission and can answer any questions you may have in regards to your insurance policy.

Keeping it in “Plain English.” We pride ourselves on creating content that is easy to understand and that doesn’t have a ton of “insurance-ese”. Insurance education is essential to us and we put our customers needs first. 

Frequently Asked Questions

Who has the cheapest Condo insurance?

Hippo is shown to have some 25% lower rates than most traditional condo insurance companies.  Along with 60 second quotes and instant online approvals, we pick Hippo!

How much is a typical condo insurance policy?

The average cost of condo insurance is about $478 per year. Some 95% of homeowners in the United States have homeowners insurance, but about 60% are under-insured on their policy.

What is the average monthly cost for condo insurance?

The average monthly cost of condo insurance is about $40 per month; however, several factors play a part in determining how much your coverage will cost. 

Who has the best condo insurance?

The Best condo insurance goes to Hippo insurance, they have a fast policy along with affordable rates and a 100%  online application. 


Condo Insurance Basics

To learn more about the basics of homeowners insurance you can click here!

Condo Insurance Coverage & Costs

To learn more about the coverage and costs of condo insurance you can click here!

Condo Insurance FAQ’s

Get answers to our most frequently asked questions about condominium insurance by clicking here!

Condo Insurance Best Of

To learn more about the best of condo insurance you can click here!

Condo Insurance Reviews

Read our best condo insurance reviews by clicking here!

About the author 

Sa El