How much does condo insurance cost?
How much does condo insurance cost?
$400 – $700 average cost per year
$35 – $60 average cost per month
Average condo insurance cost
Condo insurance costs $400 to $700 per year on average, but annual condo insurance rates can range from under $500 to $3,000+, depending on your location, risk profile, and the coverage and deductible amounts. Condo and townhome insurance costs are highest when the condo association insurance is a bare-walls policy.
| National Average Cost | $590 |
| Minimum Cost | $244 |
| Maximum Cost | $3,288 |
| Average Range | $400 to $700 |
Condo insurance is also called HO-6 insurance and provides protection for your condo unit and belongings.
The level of coverage you need depends on your condo association's master policy. Some master policies cover the condo unit interior, fixtures, and built-in appliances, while others only cover the building's exterior and common areas.
Insurance rates have increased steadily over the past decade, with more significant increases in the last two years. The prices in this guide reflect these increases.
Condo insurance rates by state
Condo insurance rates vary significantly from state to state due to varying crime rates, cost of living, state insurance regulations, and risk level for natural disasters across the U.S. The following table shows the average annual condo insurance rates for each state.
| State | Average annual rate* | Average monthly cost** |
|---|---|---|
| Alabama | $700 – $720 | $58 – $60 |
| Alaska | $450 – $470 | $38 – $39 |
| Arizona | $600 – $625 | $50 – $52 |
| Arkansas | $715 – $730 | $60 – $61 |
| California | $700 – $725 | $58 – $60 |
| Colorado | $595 – $615 | $50 – $51 |
| Connecticut | $445 – $465 | $37 – $39 |
| Delaware | $500 – $525 | $42 – $44 |
| District of Columbia | $390 – $420 | $33 – $35 |
| Florida | $1,200 – $1,300 | $100 – $108 |
| Georgia | $625 – $650 | $52 – $54 |
| Hawaii | $385 – $410 | $32 – $34 |
| Idaho | $530 – $550 | $44 – $46 |
| Illinois | $520 – $545 | $43 – $45 |
| Indiana | $425 – $450 | $35 – $38 |
| Iowa | $350 – $370 | $29 – $31 |
| Kansas | $430 – $455 | $36 – $38 |
| Kentucky | $460 – $480 | $38 – $40 |
| Louisiana | $980 – $1,000 | $82 – $83 |
| Maine | $400 – $425 | $33 – $35 |
| Maryland | $365 – $385 | $30 – $32 |
| Massachusetts | $500 – $525 | $42 – $44 |
| Michigan | $415 – $435 | $35 – $36 |
| Minnesota | $425 – $445 | $35 – $37 |
| Mississippi | $700 – $730 | $58 – $61 |
| Missouri | $450 – $475 | $38 – $40 |
| Montana | $575 – $600 | $48 – $50 |
| Nebraska | $450 – $475 | $38 – $40 |
| Nevada | $495 – $520 | $41 – $43 |
| New Hampshire | $400 – $425 | $33 – $35 |
| New Jersey | $475 – $500 | $40 – $42 |
| New Mexico | $525 – $550 | $44 – $46 |
| New York | $530 – $545 | $44 – $45 |
| North Carolina | $615 – $645 | $51 – $54 |
| North Dakota | $315 – $340 | $26 – $28 |
| Ohio | $360 – $385 | $30 – $32 |
| Oklahoma | $835 – $860 | $70 – $72 |
| Oregon | $480 – $510 | $40 – $43 |
| Pennsylvania | $440 – $465 | $37 – $39 |
| Rhode Island | $650 – $675 | $54 – $56 |
| South Carolina | $560 – $575 | $47 – $48 |
| South Dakota | $375 – $400 | $31 – $33 |
| Tennessee | $570 – $590 | $48 – $49 |
| Texas | $1,150 – $1,250 | $96 – $104 |
| Utah | $365 – $385 | $30 – $32 |
| Vermont | $360 – $390 | $30 – $33 |
| Virginia | $430 – $450 | $36 – $38 |
| Washington | $475 – $500 | $40 – $42 |
| West Virginia | $575 – $600 | $48 – $50 |
| Wisconsin | $310 – $330 | $26 – $28 |
| Wyoming | $480 – $500 | $40 – $42 |
*Based on pricing from the National Association of Insurance Commissioners (NAIC) and recent rate increases reported by S&P Global Marketing Intelligence. **Costs may be higher if paid month to month instead of in a single annual payment
Condo insurance rates vary widely from city to city within each state. Condos in major cities, urban areas, and coastal towns cost more to insure than condos in inland and rural towns.
States with the cheapest and most expensive condo insurance
The table below shows the 10 most expensive and 10 least expensive states for condo insurance. While some areas may stay consistently low or high risk, state insurance rates still fluctuate from year to year and insurance companies increase or decrease rates based on the events of the previous years.
| Cheapest condo insurance | Most expensive condo insurance | ||
|---|---|---|---|
| State | Average cost per year | State | Average cost per year |
| North Dakota | $325 | Florida | $1,206 |
| Wisconsin | $326 | Texas | $1,168 |
| Iowa | $360 | Louisiana | $991 |
| Maryland | $373 | Oklahoma | $842 |
| Vermont | $375 | Arkansas | $724 |
| Utah | $377 | Mississippi | $715 |
| Ohio | $378 | California | $711 |
| South Dakota | $383 | Alabama | $710 |
| Hawaii | $402 | Rhode Island | $661 |
| District of Columbia | $403 | Georgia | $634 |
Condo insurance prices by coverage limit
The amount of coverage you choose directly affects your insurance rate. Higher coverage limits cost more but pay more in the event of covered damage or loss. The amount of coverage you need depends on the value of your personal property and what's already covered under your condo association's master policy.
| Dwelling / personal property coverage amount |
Average annual cost* |
|---|---|
| $13,999 and under | $450 – $470 |
| $14,000 to $19,999 | $455 – $475 |
| $20,000 to $25,999 | $465 – $485 |
| $26,000 to $31,999 | $500 – $525 |
| $32,000 to $37,999 | $525 – $540 |
| $38,000 to $43,999 | $530 – $550 |
| $44,000 to $49,999 | $535 – $565 |
| $50,000 to $74,999 | $600 – $620 |
| $75,000 to $99,999 | $650 – $680 |
| $100,000 and over | $1,000 – $1,100 |
Condo insurance cost by company
The insurance carrier you choose also impacts your condo insurance rate. Each company calculates risk and determines pricing differently. Compare quotes from several insurance providers to find the best coverage for the best rate.
The table below shows the average condo insurance rate for some top insurance carriers. Not all carriers sell condo insurance in every state.
| Company | Average annual rate* |
|---|---|
| Allstate | $375 – $425 |
| American Family | $520 – $550 |
| Auto-owners | $370 – $400 |
| Erie | $645 – $670 |
| Farmers | $530 – $560 |
| Nationwide | $525 – $575 |
| State Farm | $300 – $350 |
| Travelers | $475 – $525 |
| USAA (only for military, veterans, and their families) | $650 – $700 |
*Actual rates vary based on your location, risk profile, coverage limits, and deductibles.
What does condo insurance cover?
Most standard condo insurance policies contain a list of covered events, such as fire, lightning, and theft. The table below details the typical coverage types and limits on a condo insurance policy:
| Coverage type | Typical limit | What it covers* |
|---|---|---|
| Dwelling / building property | 20% of unit's value or $50 – $100 per square foot (for standard finishes) | Condo unit interior (walls, cabinets, built-in appliances, flooring, etc.) |
| Personal property | 20% – 75% of dwelling limit | Your personal belongings |
| Loss of use / additional living expenses | 20% of combined dwelling & personal property limit | Costs to live elsewhere if condo is uninhabitable after a covered event |
| Personal Liability | $100,000 – $500,000 | Legal and medical expenses if someone is hurt or their property is damaged in your condo, and they sue you |
| Medical payments | $1,000 – $5,000 | Medical bills for guests injured on your property, regardless of who is liable |
| Loss assessment (optional) | $5000 – $10,000 minimum | Optional coverage to help pay for the shared expense of common area damages after a covered event |
*If damage is due to a covered disaster
Condo association insurance
A condo association master policy covers the building exterior and common areas like the lobby, elevators, and pool. You pay this shared expense in your association dues, and deductibles are also spread among the condo owners. A condo's master policy does not protect your personal belongings.
There are three types of master policies, and this policy type impacts the coverage level you need in your personal condo policy.
Bare-walls policy: This policy covers the exterior building and common areas, and you are responsible for your condo unit and everything inside it. This includes everything from the wall studs in, meaning drywall, flooring, cabinets, fixtures, appliances, and everything else.
Single-entity policy: This coverage includes the building structure, both the shared areas and your condo unit's interior. You are responsible for insuring your personal belongings and any upgrades or improvements you make to your condo.
All-inclusive policy: As the name suggests, an all-in policy is the most comprehensive type, covering everything except your personal belongings.
When buying a condo, you usually receive a "certificate of insurance" at closing which details what the condo association insurance policy covers, and what you are personally responsible for.
What is not covered by condo insurance?
A condo insurance policy doesn't cover the building's exterior or shared areas, as the condo association insurance covers them. While policy exclusions vary by location and carrier, most standard condo policies exclude:
Earthquake damage
Flood damage
Wind damage in some states
Normal wear and tear
Intentional damage
Mold
Pest infestations
A home warranty costs $420 to $720 per year on average and sometimes less for a condo, depending on the unit's square footage. A home warranty can help cover home repairs due to normal wear and tear. Before purchasing a warranty, be sure to read all the terms to confirm exactly what the policy covers and excludes.
Condo insurance cost calculator
A condo's location and its associated master policy are two major factors that impact insurance rates. Location determines your risk of natural disasters, theft, and other damaging events, while the condo's master policy determines how much of the condo unit is already covered.
Additional factors that influence the cost of condo insurance include:
Age & condition: Older structures typically cost more to insure since they are often costlier to repair.
Unit & personal property value: Luxury condos with high-end finishes cost more to insure than standard units with builder-grade materials. The same goes for your personal property. The more expensive your belongings, the more they will cost to replace, which means higher coverage limits and premiums.
Claims & credit history: Condo insurance rates are typically higher if you've filed one or multiple claims in the past. A poor credit score can also mean much higher premiums in some states.
Deductibles: Opting for a higher deductible lowers your insurance premiums but means you'll pay more out of pocket for repairs after a covered loss.
Discounts: Companies often offer discounts for bundling condo and auto policies, extra security features in the unit, being retired, and more.
Reimbursement method:
Replacement cost value (RCV) reimburses you for the full cost to replace the item at today's prices, up to the policy's limits. This option increases your insurance rate.
Actual cash value (ACV) reimburses you for the item's depreciated value. This lowers your premium but may not be sufficient to replace damaged or lost items after a covered event.
How to lower the cost of condo insurance
Here are some money-saving tips to reduce your condo insurance premiums:
Pay in full: Most carriers offer a discount if you pay for the year all at once instead of monthly.
Add safety features: Installing upgraded fire protection, anti-theft systems, and other security features often lowers insurance rates.
Maintain good credit: Many states allow insurers to use credit history as a factor in pricing. Good credit typically means lower risk to an insurer, translating to lower premiums.
Bundle policies: Many companies offer a discount—sometimes up to 20%—when combining condo and auto insurance.
Shop every year: Rates are constantly fluctuating. Compare quotes from several companies each year at renewal to find the best rate.
Search for discounts: Ask about discounts for retirees, professional memberships, claim-free status, customer loyalty, bundling your condo and auto insurance, installing extra safety features, and others.
Raise deductibles: Increasing your deductible can lower your premiums significantly. Just be prepared for the potential higher out of pocket costs to repair or rebuild after a covered event.
Lower limits: Decreasing your personal property coverage limits typically lowers premiums. Consider what personal belongings you could live without after a covered loss.
Condo insurance FAQs
Do you need homeowners insurance for a condo?
If you own your condo, you need condo insurance. Condo insurance is different from homeowners insurance in that a homeowners policy protects the home's interior and exterior. Condo insurance does not cover the building's exterior because the condo association insurance typically covers that and the shared amenities.
Because of this difference, homeowners insurance policies generally cost more than condo insurance. Homeowners insurance costs $1,800 to $3,200 per year on average.
How much condo insurance do I need?
The amount and type of condo insurance you need depends on your condo association's master policy coverage, local construction costs, the materials used in the condo, and the value of your personal property.
Condos with all-inclusive master policies: Estimate how much it would cost to replace your personal belongings, and ensure you have enough liability coverage to protect your personal savings and assets if you're found responsible for injury or damage that occurred on your property.
Condos with bare-walls or special entity policies: You'll need dwelling property coverage in addition to personal property and liability coverage mentioned above. For dwelling coverage, calculate the cost to completely rebuild your condo interior from the wall studs in.
Why is condo insurance so expensive?
Condo insurance rates are high and continue to increase for several reasons, such as inflation, rising labor and construction costs, ongoing supply chain issues, and the increase in extreme natural disasters. Individual factors like your credit score and your condo's age or condition can also lead to more expensive premiums.
Does condo insurance cover water damage to other units?
Condo insurance may cover water damage to other units in certain situations, such as some plumbing accidents not resulting from normal wear and tear. Read your condo association's master policy, CC&Rs (Covenants, conditions, and restrictions), and your personal condo policy terms to confirm the coverage limitations and exclusions.
Getting quotes from condo insurance companies
Before reaching out to an insurance company or independent insurance agent near you for quotes, check your condo's master policy to confirm whether it provides bare-walls, single-entity, or all-inclusive coverage. Then, follow these guidelines to find a condo insurance company and plan that best fits your situation:
Calculate the approximate personal property coverage you need, and decide the deductible amounts you're comfortable with before calling for quotes.
Compare quotes from at least 3 high-rated insurance companies. Remember to compare coverage limits, deductibles, exclusions, and available discounts, not just pricing.
Read their customer reviews on HomeGuide and Google, keeping an eye out for comments about the claims process and potential trends of frequently denied claims.
Ask about bundling or other available discounts.
Ask about additional deductibles for certain covered natural disasters.
Read all the policy terms and conditions before signing anything.
Questions to ask a condo insurance agent
Ask these important questions before purchasing a condo insurance policy:
Does the policy reimburse the replacement cost or actual cash value?
What are my coverage limit and deductible options for this condo?
How much liability coverage does this condo policy include?
Does the condo policy have any additional deductibles?
What events are covered, and which ones are not covered?
Can you confirm the coverage in my condo's master policy?
Do you offer add-on coverage options, and how much are they?
What additional coverage do you recommend for my condo?
What policy discounts do you offer?
Are there any condo improvements that lower the insurance premium?
Using our proprietary cost database, in-depth research, and collaboration with industry experts, we deliver accurate, up-to-date pricing and insights you can trust, every time.