What does condo insurance cover?
Condo insurance, usually an HO-6 policy, works alongside your association’s master policy. It can cover building property you are responsible for, your belongings, personal liability, additional living expenses after a covered loss, and certain association loss assessments. Coverage depends on the policy’s terms, limits, deductibles, and exclusions, and how much interior coverage you need depends on how the master policy is written.
When you own a condo, you share insurance responsibility with your homeowners association. The association generally insures the building and common areas as specified in its governing documents and policy. Your policy addresses your individual coverage needs, including property left to your responsibility, and that line differs from one association to the next. Getting it right starts with reading the association’s documents, not guessing.
Oakview is an independent agency with access to more than 100 carriers, including 30+ primary A-rated carriers, so we can compare unit owners policies rather than offer one company’s version. Call (530) 674-5054 to talk with a licensed advisor.
How does the HOA master policy fit with your policy?
Master policies vary. Bare walls coverage generally insures the building structure and common areas, leaving specified interior components to unit owners. Single-entity coverage generally includes original interior fixtures and finishes but not owner improvements and upgrades. All-in coverage may also include those improvements and upgrades. These labels are not used consistently, so the actual master policy wording controls. None of these approaches covers your belongings or your personal liability.
Your CC&Rs set the division of responsibility, and California’s Davis-Stirling Act requires associations to give owners an annual summary of the association’s insurance, which by law notes that it is not a substitute for the actual policies. Bring both when you call, and we will show you where the master policy ends and your coverage needs to begin. The master policy deductible matters too, since owners can be assessed for it after a loss.
What are the parts of an HO-6 policy?
Unit owners policies are built from the same parts at most carriers. The table shows the usual coverages. Limits and terms depend on the carrier.
| Coverage | What it does | What to watch |
|---|---|---|
| Unit building property | Covers the interior items and improvements you are responsible for | Set the limit by the cost to restore your unit as it is now |
| Personal property | Covers your belongings after a covered loss | Choose replacement cost or actual cash value |
| Personal liability | Helps pay defense costs and damages for covered claims involving bodily injury or property damage for which you are legally responsible | Choose a limit that fits your assets and income |
| Medical payments to others | Helps pay necessary medical expenses for covered accidental injuries to guests, regardless of fault, subject to limits and exclusions | Limits are modest |
| Loss of use | Pays extra living costs if a covered loss makes the unit unlivable | Check the limit against realistic repair times |
| Loss assessment | Helps pay your share of certain association assessments after a covered loss | Default limits are often low and can usually be increased |
A personal umbrella can add more liability coverage above the condo policy. If you rent your condo to a tenant, tell us, since that changes the coverage you need.
How does loss assessment coverage work?
If the association has a loss its insurance does not fully pay, such as a large claim, a liability judgment, or the master policy deductible, it can assess unit owners for their share. Loss assessment coverage helps pay your share of an assessment that results from a covered loss, up to your policy limit. Coverage for an assessment that comes from the master policy’s deductible may be limited, and assessments for earthquake damage generally require earthquake coverage. We review the master policy’s limits and deductible with you before recommending a loss assessment limit.
Does a townhome need a condo policy?
It depends on the governing documents. If the association insures the building structure under a master policy, a unit owners policy is usually the right fit. If you are responsible for insuring the structure yourself, a homeowners-type policy is usually needed instead. In practice, the ownership structure, the governing documents, and the association’s actual insurance policy help determine whether a condo or homeowners policy is appropriate. The association’s annual insurance summary is a good starting point, but it is not a substitute for the policy itself, so the policy and its endorsements may need to be reviewed to confirm coverage responsibilities and carrier eligibility. Carrying the wrong form can leave a gap that only shows up at claim time.
Does condo insurance cover earthquake and flood?
Standard HO-6 policies exclude earthquake shaking damage, although California law requires coverage for fire caused by or following an earthquake, subject to the policy’s terms and limits. California Earthquake Authority condo policies, sold through participating insurers, can cover the unit’s building property, personal property, loss of use, and earthquake loss assessments. Private earthquake insurers, including GeoVera and Palomar, also offer standalone policies for eligible California condo units, with availability depending on current underwriting requirements. See our earthquake insurance page for more.
Standard HO-6 policies also exclude flood. Unit owners can buy flood insurance through the National Flood Insurance Program or private flood insurers for their contents and for building property they are responsible for, coordinated with any flood policy the association carries. Our team includes agents with National Flood Insurance Program certification. See our flood insurance page for more.
How much condo insurance do you need?
For unit building property, estimate what it would cost to restore your interior as it is today, including upgrades, not just the original builder finishes. For personal property, walk through each room and estimate replacement cost. For loss assessment, look at the master policy’s limits and deductible, since a high deductible or thin limits raise the chance of a large assessment. For liability, choose a limit that reflects your savings and income. We go through each number with you before recommending limits.
Serving Yuba City and the Yuba-Sutter region
We write condo and townhome insurance for unit owners in Yuba City, Marysville, Olivehurst, Linda, Live Oak, Gridley, Plumas Lake, and Wheatland, and across Yuba, Sutter, Colusa, and Butte Counties, with statewide California reach. Oakview has 850+ verified Google five-star reviews and was voted Best Insurance Company, Favorite Agent, and Favorite Customer Service by readers of the Appeal-Democrat in the Best of Yuba, Sutter and Colusa 2026.
Condo insurance FAQs
What is an HO-6 condo insurance policy?
HO-6 is the common name for the condominium unit owners policy form. It covers the parts of the unit the owner is responsible for, the owner’s personal property, personal liability, loss of use, and loss assessments, and it is designed to work alongside the association’s master policy rather than duplicate it.
Does the HOA master policy cover a condo unit?
Partly, and how much depends on the master policy. Master policies vary. Bare walls coverage generally insures the building structure and common areas, leaving specified interior components to unit owners. Single-entity coverage generally includes original interior fixtures and finishes but not owner improvements and upgrades. All-in coverage may also include those improvements and upgrades. These labels are not used consistently, so the actual master policy wording controls. None of these approaches covers the owner’s belongings or personal liability, so the governing documents and the actual master policy should be reviewed to determine what the owner must insure separately.
What is loss assessment coverage?
Loss assessment coverage helps pay a unit owner’s share of an assessment the association charges after a covered loss, such as damage to common property or a liability claim, up to the policy limit. Coverage for an assessment that results from the master policy’s deductible may be limited, and assessments for earthquake damage generally require earthquake coverage. Limits can usually be increased.
Does condo insurance cover earthquake damage?
Standard HO-6 policies exclude earthquake shaking damage, although California law requires coverage for fire caused by or following an earthquake, subject to the policy’s terms and limits. California Earthquake Authority condo policies, sold through participating insurers, can cover the unit’s building property, personal property, loss of use, and earthquake loss assessments. Private earthquake insurers, including GeoVera and Palomar, also offer standalone policies for eligible California condo units, with availability depending on current underwriting requirements.
Does condo insurance cover flood damage?
No. Standard HO-6 policies exclude flood. Unit owners can buy flood insurance through the National Flood Insurance Program or private flood insurers for their contents and for building property they are responsible for, which should be coordinated with any flood policy the association carries.
Does a townhome need a condo policy or a homeowners policy?
It depends on the governing documents. If the association insures the building structure under a master policy, a unit owners policy is usually the right fit. If the owner is responsible for insuring the structure, a homeowners-type policy is usually needed instead. The ownership structure, the governing documents, and the association’s actual insurance policy help determine whether a condo or homeowners policy is appropriate. The association’s annual insurance summary is a good starting point, but it is not a substitute for the policy itself, so the policy and its endorsements may need to be reviewed to confirm coverage responsibilities and carrier eligibility.
Does condo insurance cover water damage from a neighbor’s unit?
A unit owners policy may cover sudden, accidental water damage to the owner’s interior and belongings, subject to the deductible and policy terms. Whether the owner, a neighbor, or the association is responsible depends on the cause and the governing documents. If water from the owner’s unit damages a neighbor’s unit, the owner’s liability coverage may respond if the owner is legally responsible.
What is the difference between actual cash value and replacement cost on a condo policy?
Actual cash value pays what belongings or interior finishes were worth at the time of loss, after depreciation. Replacement cost pays to repair or replace them with materials of like kind and quality without a deduction for depreciation, subject to the policy terms. Replacement cost generally costs more.
Talk to Oakview
Call (530) 674-5054 or email info@oakviewins.com. Have your CC&Rs, the association’s insurance summary, and a rough idea of your upgrades and belongings ready, and we will compare options and explain the differences in plain terms. There are no broker fees.