Condo Insurance: What Managers & Owners Need to Know

Condominium living offers many benefits, including shared amenities and a sense of community. However, it also presents unique insurance considerations for property managers and owners. Regarding condo management in Calgary, exploring the essential aspects of condo insurance is imperative. For condo managers and owners handling property management in Calgary, it’s important to understand how to help protect their investments and maintain a thriving condominium community.

Understanding Condo Insurance

Before diving into specific considerations for managers and owners, let’s establish a fundamental understanding of condo insurance.

Condo insurance, often referred to as “condominium insurance” or “HO-6 insurance,” is a policy that provides coverage for condo units and their contents. Unlike homeowners’ insurance for single-family homes, condo insurance typically covers everything within the unit’s walls, from personal belongings to interior fixtures and improvements.

Condo Management in Calgary: Condo Association’s Master Policy

One crucial aspect of condo insurance is the relationship between individual unit owners and the condo association. Condo associations typically have a master insurance policy that covers common areas and the structure of the building. 

This master policy can be one of two types:


This type of master policy, known as “all-in” or “single-unit” coverage, covers everything from the exterior walls inward. Individual unit owners are only responsible for ensuring their personal belongings and any improvements made to the unit.

Bare Walls-In

In contrast, the “bare walls-in” master policy covers only the structural elements of the building, such as the exterior walls, roof, and foundation. Individual unit owners are responsible for insuring everything within their unit, including fixtures, appliances, and interior walls. 

Considerations for Condo Owners

As a condo owner, understanding your insurance needs is crucial. Here are some key considerations:

Personal Property Coverage

Condo insurance should cover your personal belongings, including furniture, clothing, electronics, and other possessions. Keep an inventory of your belongings and their value to determine the appropriate coverage amount.

Liability Protection

Liability coverage is essential in case someone is injured in your condo or if you accidentally cause damage to someone else’s property. It can also provide legal defence if you are sued for personal injury or property damage.

Additional Living Expenses (ALE)

If your condo becomes uninhabitable due to a covered loss (e.g., fire or water damage), ALE coverage can help with expenses like temporary housing, meals, and transportation.

Loss Assessment Coverage

Sometimes, condo associations may assess unit owners for unexpected expenses, such as repairing common areas or shared utilities. Loss assessment coverage can help protect you from unexpected assessments.

Building Additions & Alterations

If you have made improvements or upgrades to your condo unit, such as renovating the kitchen or bathroom, ensure that your insurance policy covers these additions. You may need to increase your coverage to account for these improvements.

Deductible Considerations

Understand the deductible structure of your condo association’s master policy. In the event of a claim, you may be responsible for a portion of the deductible, so be prepared for this potential expense.

Key Considerations of Condo Management in Calgary 

Property managers are crucial in ensuring that condominium communities are well-maintained and financially secure. Understanding condo insurance is vital for effectively managing the property. Here are some considerations for condo managers:

Review the Master Policy

Property managers should thoroughly review the condo association’s master insurance policy. Understand the type of coverage it provides and whether it is “all-inclusive” or “bare walls-in.” This knowledge will help you communicate effectively with unit owners.

Condo Management in Calgary: Educate Unit Owners

Educate condo unit owners about their insurance responsibilities. Ensure that they understand what is covered by the master policy and what they need to insure individually. Encourage them to obtain adequate personal property coverage.

Require Proof of Insurance

Make it a policy to require unit owners to provide proof of condo insurance, which ensures that all residents are adequately protected, reducing potential disputes and liabilities.

Communicate Changes

Keep unit owners informed about changes to the master policy or assessments that may impact their insurance needs. Clear and timely communication is essential for maintaining a well-informed community.

Consider Additional Coverage

Explore the possibility of obtaining additional coverage for the condo association, such as “loss assessment coverage”, which can protect the association and unit owners from unexpected expenses.

Partners in Safety For Securer Condo Management in Calgary

In a condominium community, the relationship between property managers and unit owners is a partnership to maintain a secure and thriving environment. By understanding condo insurance and its nuances, both parties can work together to protect their investments and ensure the community’s long-term stability.

Condo Insurance: Integral For Condo Management in Calgary

Ultimately, a well-informed and proactive approach to condo insurance benefits everyone in the community, creating a secure and harmonious living environment. For professionals in condo management in Calgary, understanding the intricacies of condo insurance is essential for effectively managing condominium properties and fostering a sense of security among residents.

New Leaf Properties™ makes owning a property a hassle-free experience. With over 25 years of property management experience, Our professionals have expertise in managing a variety of residential properties. If you’re ready for a new kind of property management experience, contact us! Phone: (403)-910-6480

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