Whether you live in a condo, house or apartment, leaks are inevitable. What matters most is whether your insurance covers leaks and the speed at which you can fix them.
The insurance team at Hausmann Insurance & Financial Services is here to help you understand the nuances of condo insurance in and around Charlotte, NC and Waxhaw, NC.
Condo Leaks and Coverage
It’s only a matter of time until your condo ceiling or walls leak after a storm or neighbor’s mistake. Leaks can cause minor damage or total property loss.
Coverage for a water leak depends on a couple factors such as policy details and the cause of the leak. If the condo unit owner acted negligently or committed an intentional act that caused the damage, that individual is legally responsible for all ensuing damage.
However, the condo association insurance policy also sometimes plays a part in determining responsibility. If the policy is all-risk, an accidental or sudden event that is not identified as an exclusion is considered an insured peril.
As an example, if a pipe breaks and a leak results, the condo association will likely be responsible. In general, most leaks are the result of accidents as opposed to intentional acts, so either the condo owner’s policy or the association’s insurance may kick in.
Water Up Versus Water Down
In general, the mantra of condo insurance coverage for leaks is if it comes down, it’s covered and if it comes up, it probably isn’t. In other words, shower pans, burst pipes and storms that cause leaks tend to be covered.
However, if there is a flood or a sewage backup that sends water upward, it might not be covered unless there is an extra policy endorsement. Be sure to take a look at your condo insurance policy small print along with the condo association bylaws for clarity on coverage and limits. The up/down guideline is merely a guideline and not applicable in all situations.
Get Your Quote From Hausmann Insurance & Financial Services
Serving Waxhaw, NC, Charlotte, NC, and surrounding areas, we provide affordable insurance coverage for condos and more. Give us a call today.
