June 2023

INSURANCE... from page 31.

coverages and exclusions, so you should confirm with your association’s insurance broker the details of your specific policy. When an association master policy provides coverage on residential buildings with bare walls, single entity, or all-in, the unit owner will need to have a condominium owners (HO6) policy. If the association’s master policy is bare walls, the building property portion of the policy will need to include a higher limit as you will be responsible for

belongings, additional living expenses, loss assessment, and a personal articles floater. Homeowners should speak with their own insurance brokers to find out what other coverag es they may need to property protect their assets. Single entity, bare walls and all-in will be used when an association is providing some property coverage for the

interior portions of the unit such as cabinets and flooring. If the master policy is single entity, your HO6 coverage will need to include building coverage in an amount that would cover additions and alternations that you have done to the unit. The master policy only provides back to how the unit was initially conveyed from the builder. If

buildings and units. Bare walls is when the master policy is going to respond only up to the sheetrock portion of the interior section of a unit. Single entity (original specs) is when the master poli cy will replace the building – including the unit – back to the original plans and specifications of the builder. All-in policy

“The master policy only provides back to how the unit was initially conveyed from the builder.”

your association policy is all-in, all upgrades including unit owner upgrades at the time of the loss are included in the property coverage on the master policy. You should still CONTINUES ON PAGE 34

will replace everything in the building and units including upgrades to a unit at the time of a loss. Please note that each association master policy will be subject to their own

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JUNE 2023