Condo insurance limits
Each condo insurance policy will have a maximum limit of monetary value that an insurance company will pay out on lost, stolen or damaged goods. This is similar to how all other insurance policies will work but the maximum level will be dependant on the insurance company itself. If you have many items in your home that are worth a lot of money it may be worth insuring them each individually as some condo insurance policies will have special limits.
Most insurance policies will have a condo liability insurance limit for those items of exceptional value or items that are not easy to evaluate. Items you may wish to be individually insured are bank notes or coins, firearms, rugs, tapestries, computers, gold and silver ware. There are many other items which are said to be hard to insure so it is best to contact each individual insurer as they all will be different. For things such as bank notes and coins it would be best to keep them in a bank as it can be hard to insure money if at all. All other items that can be replaced for low cost should be kept off the policy as it can make the premiums increase.
The special limits are there as it would be unfair to measure a premium on what other people own. So if someone were to take a policy and try and insure a yacht on it, it would not be possible. The limits are there to protect the premiums for people who own modest possession. The insurance companies are fair in this respect as they will offer higher limits for the people who own such items but also charge them more. It would be unfair to higher everyone’s premiums just because a few yachts were damaged but this could happen if the limits were not in place.


14. Nov, 2010 