Buying Condo Insurance Florida

Written by Terry Taylor - Taylor Insurance in Panama City, FL

Buying condo insurance in Florida is becoming riskier and more difficult for owners who intend to rent their condos. Purchasers of condominium insurance must now take more responsibility in knowing that they are purchasing a policy that protects them in the event of a claim.

When purchasing a policy, ask questions such as “if I rent my condo for 2, 3 or 4 days, will it be covered?” In past years there were many insurance companies to choose from for your rental condo coverage but in today’s insurance world this is not the case. Most companies now put stipulations in their underwriting that prohibit short term rental condominiums from being insured.

One company might say it’s ok to rent a condo as long as the owner lives in the condo for 3 consecutive months a year. Another company will say weekly rentals are O.K. but if a condo is rented for less than 7 days it is prohibited from coverage.

If you buy insurance from an agent representing this kind of company you might not be told that daily rental (any number of days less than 7) is prohibited. Next thing you know your condo suffers water damage and your renter is only staying in your condo for 3 nights. Will your claim be paid? Probably not!

Owners who live in their condominiums or use them as vacation getaways with absolutely no rental (where occasionally their family and friends stay in their condo with out charging rent.) will have no difficulty purchasing coverage that will pay off when claim time comes around.

Gazebo and Boardwalk at the St. Andrews Marina

Ask Questions Before You Buy Condominium Insurance

If the correct questions are asked and if the coverage pit falls are known ahead of time, a good policy can definitely be found. Insurance availability should not be a concern for new buyers and for owners. Remember to be careful and use your best judgment to find the right insurance agent and insurance company. Know that the policy you’re purchasing has no type of underwriting exclusions that will create problems at claim time.

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