Difference Between Condo and Homeowner’s Insurance

April 16, 2018


Purchasing a condo is very similar to buying a house in the sense that you will have the freedom to live in your own space without any interruptions but you also have to take care of it.

So, if that is the case, why is it that there are different types of insurance for condos and ordinary homes and what are these differences?

We cover the response to these questions below:

One of the major differences between condo and home ownership have to do with how much of it you need to insure. When a person buys a home, they become responsible for both what is inside the house as well as the land that it sits on.

On the other hand, when a homeowner purchases a condo they are individually responsible for the unit’s inside. Everything else that is outside including the common area, the building structure itself and the land are all owned by fellow condo residents.

These varying expectations of a homeowner’s responsibility is the reason why we have separate homeowners and condo insurance policies.

Even though the policies have similarly named aspects, the coverage is different.

Dwelling Coverage

This is where the difference between the two is stark. The dwelling coverage for the condo policy offers sufficient protection to rebuild the condo’s interior. On the other hand, if any part of the condo’s exterior was to be destroyed restoration would be covered by HOA insurance.

On the other hand, under homeowners insurance, the dwelling coverage is high enough such that it can cover the cost of rebuilding not only just your house but other structures that are in your property. This includes, carports, sheds, and fences.

Liability Coverage

As a condo owner, you could be held responsible if a visitor to your condo is injured, however, you cannot be held responsible if someone is injured in any of the common areas. For instance, if a visitor falls down in the lobby or slips in the slip area. That is covered by HOA insurance.

However, under homeowner’s insurance, a homeowner will be found liable for injuries that happen within their homes. This is also the case  for injuries that happen on surrounding land. Because of this, homeowner’s insurance requires more liability coverage.

Personal Property Coverage

The HOA master coverage does not extend protection to your stuff. Instead, the protection of personal property is provided by the personal property coverage under condo insurance. The value of your furniture, jewelry, clothing, electronics etc plays a key role in determining how much condo insurance you will need.

As a homeowner, when getting a homeowners insurance policy, you will want to ensure that the personal property cover offers protection for all your belongings.


Whether you own a condo or a standalone unit, you cannot afford to live without sufficient protection in the event that your property gets damaged.

At Compare A Quote, we help you get the best costs for both your condo and homeowner’s insurance.


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