Locations: Florham Park, NJ and Marysville, PA

Homeowners Insurance for Condominium Owners in New Jersey

Condominium owners are commonly underinsured!

When purchasing a condo, the structure itself is covered by an insurance policy that the condominium assocations purchases.  It’s not required to purchase coverage for your personal belongings (contents), just like living in an apartment, however you will be gossly susceptible to an economic hardship if something should happen to your residence.

When choosing coverage for your contents, please think about all your clothing, furniture, personal items like TV’s, radios, computers, etc.

Here’s the catch!  When you purchase a condomium a “master play / agreement” should be provided to you.  Updates will be sent to you by condo association as they occur.  You need to read the agreement carefully, especially the part about the insurance and ownership (owners responsibility).  Typically you own either the sheetrock inward or the paid inward.  This means that you need to insure all the sheetrock, spackling, painting, anything affixed to the wall such as kitchen and bathroom cabinets, wall to wall carpeting, lighting fixtures, etc.

If you have a fire, who is going to do the demolition and remove the debris?  You need to consider this too when purchasing insurance coverage.

You need to consider the increased cost of construction to bring the condo up to any new code.

How about market conditions?  The best way to describe this is the recent hurricane disasters in Florida and New Orleans.  Right after those disasters what do you think the price of a piece of plywood was?  $20. as usual.  No way!  If you could find a piece it was $80. to $100.  Whare are you going to do if  you have no roof?  You’ll pay it.  So when purchasing insurance you need to consider this too.

How about the other costs such as architect and engineering fees, building permits, etc.

Please remember, that by spending a little more money you can ultimately save yourself a bundle.  Purchase coverage to full replacement value and more!