Condo & Townhome Insurance: Serving Illinois & Wisconsin
If you own a condo or townhome in Lincolnshire or the surrounding suburbs, your personal insurance needs are defined by your association’s master policy. At R Hobbs Insurance Agency, we specialize in identifying the gaps where the association’s coverage ends and your personal responsibility begins.
The Most Important Question: What exactly is my responsibility?
In Illinois and Wisconsin, condo associations typically follow one of three legal structures. Your HO-6 (Condo) Policy must be tailored to match yours:
- Bare Walls (Studs-In): You are responsible for everything inside the unit frame, including insulation, drywall, and sometimes windows.
- Drywall-In: The association covers the structural walls and the drywall itself. You are responsible for everything attached to that drywall—such as paint, wallpaper, and flooring.
- Original Specifications (All-In): The association covers the unit as it was originally built.
The “Betterments” Rule: Regardless of the category above, you are responsible for any upgrades made to the unit. If a previous owner replaced laminate with granite, or if you installed custom hardwood floors, your policy must cover that increased value.
Critical Coverage: Loss Assessment
This is often the most overlooked part of condo insurance. If the association suffers a major loss—like a lawsuit or a roof replacement that exceeds their policy limits—they can “assess” each owner to pay a share of the bill.
- The Risk: You could receive a surprise bill for $5,000 or more.
- The Solution: We can include Loss Assessment Coverage to pay these unexpected fees on your behalf.
Is your Townhome actually a Condo?
In many local communities, townhomes are legally deeded as condominiums. This means you may only own the “airspace” inside and need an HO-6 policy rather than a traditional homeowners policy.
How to get started on your quote
To get started on your quote, call our office or click over to our quotes page. Either way we’ll make the process simple!