When you are looking for a condo (or HO-6) insurance policy, you will need to choose how much liability insurance you want your policy to include. It is a good idea to add the maximum amount of condo liability insurance you can afford, as it can provide excellent protection. Liability insurance protects your financially if someone is injured within your residence, or if you are responsible for someone else’s injuries.
An agent in the Trusted Choice® network can answer your questions about liability coverage and can help you get the right policy for your needs at a competitive rate. Independent agents work with several different insurance companies and can help you compare quotes. Find an agent in your area today and get all of the information you need to make an informed decision about your condo liability insurance.
Liability Lawsuits Can Be Very Expensive
- The average judgment in slip-and-fall cases is $100,000
- The average cost to defend a liability lawsuit is $50,000
- The average cost of a dog-bite claim is nearly $30,000
Why Do I Need Condo or Townhome Liability Insurance?
When you own a condominium, you pay dues to the condo association to cover maintenance of outdoor and common area facilities. The condominium association carries a master insurance policy that includes liability insurance to cover injuries or property damage in these areas. This means that if you or one of your guests is injured in the on-site gym or you slip and fall on an icy sidewalk outside your condo, the condominium association or co-op liability insurance will likely cover the expenses.
However, if a guest is injured while inside your home, or if you are responsible for someone’s injury or property damage outside your home, you can be held liable. Oftentimes, these injuries or damages are minor and can be handled quickly and easily with a liability claim. On the other hand, sometimes the liability costs can be high and can even lead to a lawsuit. When this happens, your liability insurance can cover the costs and provide you with major financial relief.
What Does Condo Liability Insurance Cover?
Condo liability policies may vary to a certain extent, but they typically cover the following:
- Bodily injury liability: This option covers guests’ injuries in your home, such as from a slip on a wet floor or a fall from a balcony. Most slip-and-fall accidents involve only minor injuries; but at times, particularly in the case of trauma to the head, neck or spine, the medical costs can be ongoing and extensive. Many policies will also cover you for bodily injuries you cause while outside your home, such as when playing sports.
- Personal property damage liability: Covers costs if you are held liable for damages – typically through negligence. For example, it would cover you if you accidently allow your bathtub to overflow, causing damage to the personal property in the unit below yours, or if you accidently cause a fire that spreads to the units surrounding yours, damaging personal property in those homes.
- Court costs and legal fees: If you are sued for a covered claim, your condo liability coverage will often pay your legal costs.
To fully understand condo liability coverage and how it can protect you, be sure to talk with a knowledgeable independent agent. An independent agent can assess your needs and concerns. You can typically request an increase in your liability limits for a fairly small increase in premium.
Does Condo Liability Insurance Cover Dog Bites?
Your condo liability insurance will typically cover medical bills and punitive costs associated with dog bites and other injuries caused by pets, as long as you specifically request this when you purchase your policy. If you get a pet after purchasing your policy, you should call your condo insurance company to add this coverage.
Approximately 15% of all claims filed by homeowners are due to dog bites or property damage caused by pets. Some dogs have been designated as “dangerous breeds” and liability coverage for these animals will be much higher. Some insurance companies will not provide coverage for at all and may even deny you a policy if you own a dangerous breed. If you have a pet, be sure to discuss the implications with an insurance representative before purchasing a policy so that you can be sure you have the appropriate coverage in place.
What Is Umbrella Insurance?
If a major injury happens to a guest at your townhome, medical costs and punitive damages may exceed the liability coverage of your condo insurance policy. Likewise, in the event that you responsible for extreme damage, such as a condominium fire, you may be liable for hundreds of thousands of dollars of property damage. If your incurred costs exceed your coverage limits, you can be required to pay the remaining amount out of pocket. An umbrella insurance policy can provide additional protection to help you cover excess liability costs.
Umbrella liability insurance will cover costs that exceed the maximum coverage of any of your insurance policies, including your condo insurance, auto insurance and even recreational vehicle insurance. Umbrella policies are typically inexpensive for the amount of coverage provided, and can give you peace of mind if something catastrophic would happen.
Getting Help with Your Condo Liability Insurance
A great way to learn more about liability insurance is by finding an independent agent in the Trusted Choice network. Member agents can help you assess your liability coverage needs and ensure that you have a policy in place that covers you. They can also explain more about umbrella insurance and find you a competitively priced policy.
Trusted Choice member agents are located in more than 27,000 member agency locations across the United States, so it is easy to find an agent nearby. Find a local member agent today for help with your condo liability insurance.
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