Condominium Insurance in NJ

McMahon Insurance Agency recognizes these specialized needs and maintains a department dedicated to meeting them. Since each Condominium Master Deed can be written differently, we can review the insurance section to determine whether the Association or Unit Owners are responsible for items such as:

1. 1. Interior Walls and Coverings
   2. Building Exterior
   3. Flooring and Carpets
   4. Bathroom Fixtures
   5. Windows and Doors
   6. Appliances
   7. Kitchen Cabinets and Countertops
   8. Light Fixtures
   9. Personal Belongings and Valuables

Generally, insurance offered by condo associations only covers the exterior of your condo, while the interior and your possessions are protected under your own condo insurance policy. At McMahon, we can help clarify coverages in your policy. Here are some terms to know:

• Unit Owners Insurance covers personal property and interior structures which the unit owner is responsible for as well as premises liability of the unit interior, medical payments and loss of rental income. You may need additional coverage for personal items of value such as jewelry or artwork.
• Condominium Master Policy covers the building as described in the Master Deed, which includes premises liability for common areas, pools, boat slips, docks and detached structures. All unit owners should receive this condo insurance policy as part of their condominium association fees and it is the most inclusive form of coverage.
• Broadening the Perils Covered extends the basic structural coverage of the standard unit owners’ policy (HO6) to include more potential hazards such as water damage from a roof leak. It provides personal property and liability coverage, along with the costs of specified improvements.

Make sure condominium owners insurance coverage is “special form” as it provides the most extensive coverage. For example, if the roof leaks and water gets onto the carpeting, hardwood floors, cabinets, furniture, etc., causing major damage to these items, the unit owner will have no coverage at all unless you have upgraded the perils covered.

Additionally, when it comes to a master policy, there are two types; “all-in” and “bare walls-in”. All-in covers your appliances, electrical wiring, floor coverings and plumbing, but does not include any personal items. Bare walls-in only covers property outside of your walls and nothing inside. This will impact how much of your own condominium insurance you’ll need in New Jersey.