FL Condo Master Policy vs HO6 — What's Covered?
Where the condo association's master policy ends and the unit owner's HO6 begins. Avoid the gap that costs Florida condo owners thousands in claims.
Frequently Asked Questions
What is the difference between a condo master policy and an HO-6 policy?
A condo master policy (also called a master insurance policy) is purchased by the condominium association and covers the building structure, common elements, and shared areas. An HO-6 policy is purchased by individual unit owners and covers personal property, unit improvements, personal liability, and loss assessment coverage. The master policy protects the building; the HO-6 protects what is inside your unit and your personal financial exposure.
What does 'bare walls' vs. 'all-in' coverage mean for a condo master policy?
These terms describe how much of each individual unit the master policy covers. A 'bare walls' (also called 'studs-out') policy covers only the building structure — exterior walls, roof, foundation, and common areas — but not fixtures, flooring, or finishes inside units. An 'all-in' (also called 'single entity') policy covers everything as originally built by the developer, including interior walls, flooring, cabinets, and built-in appliances. Your association's governing documents specify which type of coverage is required.
Do I need an HO-6 policy if my condo association has a master policy?
Yes. The association's master policy does not cover your personal belongings, any improvements or upgrades you made to your unit, your personal liability if someone is injured in your unit, or your share of the association's deductible. An HO-6 policy fills these gaps. Most mortgage lenders also require unit owners to carry an HO-6 policy.
Who pays the master policy deductible when there is a claim?
This depends on your association's governing documents and the nature of the claim. For claims affecting common elements, the association typically pays the deductible from reserves or through a special assessment. For claims originating within a specific unit (such as a kitchen fire), many associations pass the master policy deductible to the responsible unit owner. Florida condo master policy deductibles can range from $10,000 to $250,000 or more, especially for wind/hurricane coverage. Unit owners can protect themselves with HO-6 loss assessment coverage.
What happens if there is a gap between the master policy and my HO-6 coverage?
Coverage gaps are one of the most expensive mistakes in condo insurance. If the master policy is 'bare walls' but you assume it covers your original fixtures, you could face tens of thousands of dollars in uninsured losses. The solution is to read your association's governing documents to understand exactly what the master policy covers, then make sure your HO-6 policy picks up where the master policy stops. An experienced insurance broker can review both policies to identify and close any gaps.
How much HO-6 coverage do I need as a Florida condo owner?
The amount of HO-6 coverage you need depends on three factors: the value of your personal property (furniture, electronics, clothing), the cost of any improvements or upgrades you have made to your unit beyond the original developer specifications, and the association's master policy deductible (which you may be responsible for). Most Florida condo owners need $50,000-$150,000 in personal property coverage, $20,000-$100,000 in unit improvements coverage, and at least $50,000 in loss assessment coverage.
Get a free quote or call (904) 900-5063 — Atesa Risk Advisors, independent Florida insurance brokerage.