Do you need condo insurance in Ontario if the building is already insured?
Yes. The condo corporation's master policy covers the building's structure and common areas, but not what's inside your unit or your personal liability. A personal condo (unit-owner) policy covers your improvements and betterments, your contents, your liability, additional living expenses if you're forced out, and, critically, any loss-assessment charges the corporation passes on to owners after a large claim. Without it, those gaps land on you.
What does the condo corporation's policy actually cover?
The master policy typically covers the building envelope, common elements, and the "standard unit" as defined in the corporation's declaration. It does not cover your upgrades (better flooring, renovated kitchen), your belongings, your liability, or your deductible exposure. Where the "standard unit" ends and "your responsibility" begins is the single biggest source of condo claim surprises.
What does a personal condo insurance policy cover?
A unit-owner policy generally includes: improvements and betterments (upgrades beyond the standard unit), contents (your belongings), personal liability, additional living expenses if a covered loss makes the unit uninhabitable, and loss assessment / deductible coverage for charges the corporation assesses to owners. That last piece matters more than most people realize.
What is loss assessment, and why does it matter?
If a major loss hits the building and exceeds the master policy (or triggers its large deductible), the condo corporation can assess every owner for a share of the cost. Loss-assessment coverage on your personal policy responds to that charge. In a world of rising water claims and big master-policy deductibles, this is one of the most valuable and overlooked coverages a condo owner can carry.
FAQ
Is condo insurance mandatory in Ontario? Not by law, but your mortgage lender usually requires it, and the condo declaration may too. Either way, going without leaves real gaps. How much does condo insurance cost? Usually far less than a house policy, since you're not insuring the whole building, but it depends on your unit, upgrades, and location. Does it cover water damage from another unit? Your policy can respond to your damage and liability; who ultimately pays depends on the cause and the corporation's bylaws.