Taking Care of Your Condo-Unit Owners
It’s a good feeling to know that after an earthquake has roughed up your policyholder’s condo unit, the damages were covered by the CEA earthquake insurance policy you helped them get ahead of time.
Fortunately, condo-unit owners have several coverage options available to help protect them financially from earthquake damage*:
- Building Property: Provides coverage if there is damage to the permanently attached parts of the inside of the condo unit like interior walls, fixtures, and windows. This coverage can pay up to $10,000 for code-compliant rebuilding or repair costs.
- Personal Property: Covers earthquake damage to covered personal belongings such as TVs and furniture.
- Loss of Use: Covers the additional living expenses for your policyholder to maintain their normal standard of living, like residing elsewhere while the condo unit is being repaired, or if a civil authority prevents them from residing in their home because of earthquake damage.
- Loss Assessment Coverage: Covers your policyholder's share of certain assessments levied by their HOA on its members for earthquake-damage repairs or to pay a master-policy deductible.
- Emergency Repairs: Pays for reasonable costs your policyholders incur to protect their covered property from further damage.
- Breakables: Covers glassware, crystal, china, ceramic, pottery, porcelain, or marble items that are broken because of an earthquake.
All of these coverages are designed to help your condo-unit owners recover from earthquake disaster.
To keep earthquake disaster from becoming financial disaster, you’ll want to be sure you discuss a coverage unique to condo-unit owners: loss assessment coverage. Check back in on July 13th to read Part 2 of our condo deep-dive, where you'll learn why Loss Assessment coverage is so valuable for your policyholders
In the meantime, visit our For Agents section to review more about our condo policies, and the coverage limits and deductible options that come with each coverage type.
*The CEA policy has deductibles, coverage limits and sublimits that are not discussed here. Be sure to review the sample policies for a complete description of what is covered.