In Virginia, condo insurance for the master policies are paid according to your governing documents. Here is a brief summary to explain some of the differences. You should always review your governing documents for clarification and exceptions.
STUDS IN:
Prior to purchasing a HO-6 insurance policy, you should understand how your unit is defined in your governing documents. With “STUDS IN” definition, you are responsible for replacing the wallboard, partition walls, sub-floors and ceiling covering. In addition, you would need to replace wall and floor coverings, light fixtures, bathroom and kitchen cabinets (and fixtures), appliances, etc.
BARE WALLS:
Prior to purchasing a HO-6 insurance policy, you should understand how your unit is defined in your governing documents. With “BARE WALLS” definition, you are responsible for replacing anything beyond the wallboard in the unit. In addition, you would need to replace wall and floor coverings, light fixtures, bathroom and kitchen cabinets (and fixtures), appliances, etc.
SINGLE ENTITY:
Prior to purchasing a HO-6 insurance policy, you should understand how your unit is defined in your governing documents. With “SINGLE ENTITY” definition, the master condo policy will replace the condo unit “as original built.” You are responsible for replacing your improvements and betterments and personal property.
Your documents may differ slightly, so be sure to purchase the proper protection for both building and contents that you will need. A HO-6 policy is an essential component for the replacement of the building portion, your personal property, improvements and betterments. Make sure your limits are adequate based on your documents.
Many condo owners believe that the association’s master policy provides adequate protection. However, the insurance that protects the building does not protect the interior of the individual condominium units.
A condominium owner must know what a HO-6 policy covers and how much coverage is needed to replace the unit for building, improvements and betterments and personal property coverage.
More information can be obtained at https://www.insurance-financial.net/condo-hoa-insurance/