Best Delaware Condo Insurance

Owning a condo can offer an affordable blend of convenience and comfort. In a small state like Delaware, the right condo can put you in a great location close to everything you could want.

You’d also need the right condo insurance to protect your unit. Even when you’re not required to have it, condo insurance offers quality protection at a reasonable price. There’s no better way to protect your belongings and financial liability.

We created this guide to help people find the best condo insurance in Delaware without breaking the bank. Read on to learn about average costs and what you can do to save money.

Delaware condo insurance costs about $451 per year or $38 monthly. Average rates ranged from $31 to $58 per month, depending on desired coverage amounts.

The exact cost of your insurance will vary based on a few factors, such as your location, building characteristics, claims history, and more. For example, condos near the Atlantic coast in Delaware will likely pay higher premiums due to the increased chances of hurricane or flood damage.

Desired coverage amounts also influence your premiums. The table below shows average annual and monthly Delaware condo insurance rates at different levels of coverage.

The final coverage tier in the table is notably higher than the rest. You’ll pay more for higher coverage limits, but this can be misleading as the $693 per year represents coverage at some of the highest levels well beyond $100,00 in coverage. Most people won’t need this much coverage, and you’ll likely be fully protected with somewhere between $50,000 to $75,000 in limits, which will give you a monthly rate much closer to the state average.

Condo insurance in Delaware acts as a financial shield against potential sources of damage known as perils. Commonly covered perils include theft, fire, wind, and water damage. 

Condo insurance, officially termed HO-6 coverage by insurance companies, provides coverage for personal belongings and liability in various ways. They’re usually outlined in your policy as follows:

To get the best condo insurance in Delaware, understand your coverage needs and find a policy that fits your budget. You’ll need to shop around to do this, as premiums, discounts, and add-ons vary by company. Compare quotes to find a provider that has what you need at the most affordable price.

Many providers enable you to get a condo insurance quote in Delaware online. Other times, you’ll have to speak to a representative on the phone. Both methods have their advantages, and it’s a matter of personal preference which you prefer to do. You need to know certain information about your condominium to get a quote, such as:

You’ll also be asked to decide your coverage limits and deductibles, which we’ll explain shortly.

It’s important to understand how your policy covers losses, as it directly impacts the reimbursement you receive in a claim. One aspect of coverage to look out for is where you have actual cash value and replacement cost coverage in your policy.

Actual cash value coverage means your insurer will take depreciation into account when reimbursing you for damaged property during a claim. Every item decreases in value over time, so actual cash value provides payouts lower than what you paid for an item.

Replacement cost coverage, on the other hand, provides you with the amount it would cost to replace the damaged item with a new one of the same quality. You get back the full cost of replacing an item.

Replacement cost coverage would be the preferred option since it would pay more in a claim but costs more to have in your policy. Take note of what you can afford and see how your insurer covers your losses so you’re not surprised.

You should also note exclusions in your policy. Some can be remedied with endorsements. Endorsements are additional coverage that you can add to your plan at an extra cost. For example, you might need an endorsement if you have especially valuable jewelry or artwork in your condo or run a business out of your dwelling.

A crucial part of getting the right condo insurance is knowing the gaps in your development’s master insurance policy. Every condo complex has a homeowners association (HOA) that handles maintenance and other collective needs of the condo residents. This includes insurance coverage of building exteriors and common areas. Your condo HOA has a master insurance policy that covers these shared areas from damage that you help pay for through your monthly HOA dues.

Sometimes, your master policy will cover surfaces such as your unit’s countertops, flooring, and light fixtures when the HOA plan has “walls-in” coverage. Other times, the master policy strictly covers shared spaces and won’t extend any protection to your residence. This is called “walls-out” or bare-walls coverage.

If your HOA has walls-out coverage, you need more dwelling coverage in your personal condo policy. Otherwise, the surfaces in your unit would be completely unprotected.

For some ways to get the cheapest condo insurance in Delaware, you can keep your premiums in check by adjusting your limits and seeking discounts.

When obtaining a policy, it’s important to select appropriate limits that match your needs. Raising your coverage limits increases your premiums, and vice versa. Choose limits that insure you properly without overpaying.

To accurately determine the value of your belongings, create a home inventory that lists what you own and how much you paid for every item. The total amount for your items is the amount of personal property coverage you need. Getting more than what your items are worth would be unnecessarily raising your limits and premiums.

Every provider offers discounts. Ask which ones you may be eligible for when quoting. Some common discounts that providers offer include:

Some discounts you can qualify for immediately, while others, like claims-free and loyalty discounts, take time. Bundling, which is housing multiple insurance policies with the same provider, usually offers the most significant discount. Some carriers discount premiums of policyholders who bundle their policies by up to 20%.

Although condo insurance isn’t legally mandated in Delaware, unit owners may still be required to obtain condo insurance due to requirements from mortgage lenders or condo associations.

When lenders give home loans, they typically necessitate the property owner to get insurance. They do this to protect their investment in your property. If your condo experienced significant property damage, your lender could turn to the insurance policy to recoup money instead of paying for repairs themselves. 

If you bought your condo with a mortgage, you’ll be required to keep insurance on it for the life of the loan. If you don’t, your lender can force-place coverage of their choice on you. Force-placed coverage is more costly and less comprehensive than a standard plan you can find on your own.

Avoid force-placed coverage, as it’s in the lender’s interest, not yours. Shop for a policy on your own and find the coverage you need at your desired price. Also, make your payments on time to avoid a lapse.

It’s crucial to compare several condo insurance quotes when looking for coverage in Delaware to see which company has the most favorable terms for you. Ensure you get the best value for your money.

At Clovered, we strive to make buying insurance easy. We offer a convenient way to compare multiple quotes at once with our online quoting platform. As an independent insurance agency, we partner with some of the top condo insurance companies in Delaware, and we can find you a policy with the coverage you need at the price you want.

You can also contact our team of licensed, in-house agents for help with your quote. Call us at  833-255-4117 during business hours, and we’ll be happy to help. You can also email us at agent@clovered.com.