Home insurance can be a lifesaver when mother nature decides to unleash her wrath on your home or the pipes burst in your condo.
In fact, your lawyer will require you to have what’s called a fire/contents insurance binder before they’ll hand over the keys on your closing day.
Are you a homeowner? Here’s what you need to know:
- You’re responsible for arranging fire/contents insurance for the full guaranteed replacement value of your new home prior to your closing date, effective on your closing date. The loss payee under your policy will be your lender
- A written insurance binder for guaranteed replacement cost need to be sent from your insurance company to your lawyer before your closing
- Liability insurance is highly recommend in case someone slips on your deck or down your icy stairs – we recommend $1,000,000 minimum
Are you a condo owner? Here’s what you need to know:
- Yes, your condo corp will maintain insurance for the entire condominium building but you’ll still have to get insurance for your contents along with liability insurance effective as of your closing date (or as of the occupancy date if you’ve bought new construction)
- Make sure that your insurance broker provides a condominium unit owner’s policy and not a tenant’s policy
- Typically your condo corp’s insurance policy won’t cover upgrades or improvements installed beyond what was originally provided by your builder
- Make sure to confirm that your unit insurance will pay for any deductible owed by you (as the unit owner) under your condo corp’s insurance policy.
Looking for a great insurance broker? Here are our go-to guys for everything insurance related:
Don’t be shy, say hello today.
Do you know any family or friends who are planning to move? Contact us today to find out how we can help them have a 5 Star real estate experience.