Why New Yorkers Need Co-Op Insurance

You need co-op insurance in New York City for three reasons — most co-op building associations require people buying or renting a co-op in their buildings to have some kind of property and liability insurance, most banks lending money to co-op buyers require some kind of property insurance, and you need insurance to protect yourself and your property from damages not covered by the building’s and bank’s requirements. You should also note that even if you pay in cash without a mortgage, it is still important to secure insurance, especially liability, to protect your assets.

The corporation that owns the building you are considering living in has some type of insurance that covers the building, property that is commonly owned, and liability insurance for itself. This is what’s known as a “Master Policy”.

Two Master Policies:

There are two major types of master policies. The first is “Bare Walls” and the second is “All Inclusive”. A bare walls policy insures only the bare structure of the co-op building, this includes the structures, fixtures, and furnishings of the buildings common areas. All-inclusive policies provide more coverage to the unit and will usually restore the unit to the condition it was in at the time of a loss.  If your co-op association has an all inclusive policy, then you’re only responsible for covering the personal property within your co-op.

However, your building will not cover many things that you as a co-op owner need. These include losses from a burglary, damage from smoke, liability from damages incurred by people who get hurt inside your co-op and on a common area where each unit owner would be assessed.

This is Where Co-Op Insurance becomes Important:

Co-op insurance protects you against damages to your personal property, damages against injuries incurred in the co-op, damages caused to neighbors as a result of incidents that occur in the co-op such as water damages from leaks and damages to property that you do not own such as walls, floors, sinks, and built-in fixtures.

Your co-op association is not responsible for the damage that could occur inside your unit, that’s why having a personal policy is extremely important.

Don’t wait to get your co-op covered. With Campbell Solberg Associates it only takes 30 minutes.

We’ve been helping New Yorkers get co-op insurance for more than 75 years. Contact Campbell Solberg Associates today to get the coverage you deserve.