Florida Condo Insurance: What Your HOA Covers vs. What You Need Yourself

Buying a condo in Florida feels simple: the HOA handles the building, you handle your unit. Right?

Not exactly. The line between what the HOA’s master policy covers and what you’re responsible for is blurry, often misunderstood, and — when a hurricane rolls through — financially devastating to get wrong.

Let’s break it down clearly.

The HOA Master Policy: Three Types

Your condo association carries a master policy that covers the building and common areas. But there are three very different types, and which one your HOA has determines everything:

1. Bare Walls-In (“Studs Out”) This is the most common type in Florida. The HOA’s policy covers the building structure — exterior walls, roof, hallways, elevators, pool — down to the bare concrete or drywall. Everything inside your unit walls is your responsibility. That includes your flooring, cabinets, countertops, fixtures, appliances, and any improvements made by you or previous owners.

2. All-In (“All Inclusive”) The master policy covers the building plus standard fixtures, flooring, and finishes that were original to the unit. If it was part of the original construction, the HOA covers it. Your personal possessions and any upgrades above original finishes remain your responsibility.

3. Single Entity Similar to All-In, but covers all fixtures regardless of whether they were original or installed by a unit owner.

How to find out which type your HOA has: Request the master policy declarations page from your HOA management company. This is your right as an owner.

What Your HO-6 Policy Covers

Individual condo insurance — called an HO-6 policy — is designed to fill in everything the master policy leaves out. A solid HO-6 in Florida typically covers:

Unit interior (Coverage A): Your flooring, walls from the drywall in, built-ins, cabinets, and fixtures — especially critical under a bare walls-in master policy.

Personal property (Coverage C): Furniture, electronics, clothing, appliances. Standard coverage. Most Floridians should carry at least $50,000–$100,000.

Liability (Coverage E): If a guest slips in your unit and sues, this pays legal fees and judgments. Typically $100,000–$300,000.

Loss of use (Coverage D): If a covered event makes your unit uninhabitable, this pays your temporary housing and additional living expenses.

Loss assessment (Coverage F): This is the big one Florida condo owners often overlook (see below).

Loss Assessment: The Coverage Nobody Reads Until They Need It

Here’s a scenario that plays out every hurricane season in Florida:

A Category 3 storm damages the building’s roof. Repairs cost $2 million. The HOA’s master policy covers $1.5 million. The remaining $500,000 is divided among 100 unit owners — a $5,000 bill per unit.

That’s a special assessment — and without loss assessment coverage on your HO-6, you pay that $5,000 out of pocket.

Loss assessment coverage on an HO-6 policy picks up your share of HOA special assessments caused by covered losses. Most HO-6 policies include $1,000 of loss assessment by default. That’s not nearly enough in Florida. Increase it to $25,000–$50,000. It costs almost nothing.

The Deductible Gap Problem

Florida condo master policies — especially for hurricane coverage — often carry high percentage deductibles: 2%, 5%, or even 10% of the building’s insured value.

On a $5 million building with a 5% hurricane deductible, the HOA’s out-of-pocket before the insurer pays anything is $250,000. That shortfall is assessed to unit owners.

Your HO-6 loss assessment coverage can help here too — but only if your HO-6 policy specifically covers deductible assessments. Ask your agent explicitly.

What About Flood Coverage in a Condo?

The HOA’s master policy covers the building structure for flood (if they carry flood insurance), but your HO-6 does not include flood coverage automatically.

You’ll need a separate flood policy — either through the NFIP or a private insurer — to cover your personal property and unit improvements in a flood event.

Given Florida’s coastal exposure, this is essential, not optional.

Common HO-6 Mistakes Florida Condo Owners Make

1. Assuming the HOA covers everything. It doesn’t. Read the master policy.

2. Underinsuring unit improvements. If the previous owner renovated the kitchen with granite counters and hardwood floors, those cost tens of thousands to replace. Make sure your unit interior limit reflects actual replacement costs.

3. Skipping or under-buying loss assessment coverage. After any hurricane season, Florida condo owners with $1,000 limits learn a very expensive lesson.

4. Not updating coverage after renovations. Remodel your bathroom? Increase your unit interior limit accordingly.

5. No flood coverage. See above.

How to Shop HO-6 in Florida

HO-6 policies in Florida vary significantly in what they cover and exclude. Work with an independent agent who can compare policies across multiple carriers on the specific terms that matter for your building type and master policy structure.

Make sure to share your HOA’s master policy declarations page — a good agent will use it to identify exactly where the gaps are and how to fill them.