Yes, condo owners can buy flood insurance, and in many cases they should. Your condo association may carry a flood policy on the building, but that policy typically covers only the structure and common areas—not your unit's interior finishes or personal belongings. As a unit owner, you are responsible for insuring what the association's policy does not cover.
Flood coverage for condos involves two layers. The association purchases a Residential Condominium Building Association Policy (RCBAP) through the NFIP or a private flood insurer, which covers the building structure and common elements up to the policy limits. Individual unit owners can then purchase their own NFIP dwelling policy or a private flood policy to cover:
Under the NFIP, individual condo unit owners can purchase up to $250,000 in building coverage (for unit improvements and any share of the building not covered by the RCBAP) and up to $100,000 in contents coverage. Private flood insurers may offer higher limits.
Before purchasing your own flood policy, find out what your association's RCBAP covers. Ask for a copy of the policy declarations page and check the per-unit coverage amount. If the RCBAP is insufficient or does not exist, your personal flood exposure is much greater.
Do not assume your condo association has you fully covered for floods. Review the association's RCBAP, understand what it does and does not cover for your unit, and fill the gap with your own policy. Truscott can help you compare your association's coverage against your personal exposure and recommend the right individual flood policy. Contact us for a coverage review.
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