Best Condo Iowa Condo Insurance

The shared ownership structure and common spaces create unique insurance needs for condo owners in Iowa. Condominium unit owners need HO-6 insurance on their units, a type of insurance policy specifically designed for condos.

We’ve created this guide that covers everything you need to know about condo coverage, including average rates, cost factors, and valuable tips to find the best condo insurance in Iowa.

The average cost of condo insurance in Iowa is $286 yearly or $24 per month. Rates range from $20 to $31 monthly, depending on the amount of coverage you get.

The exact price you’ll pay for coverage depends on your individual circumstances. Several factors influence the cost of coverage, such as your desired coverage amount. Look at the average rates of condo insurance in Iowa below at different coverage levels.

Notice the discrepancy between the highest coverage tier and the lower ones. Having $100,000 or more of coverage is almost $100 more expensive annually than the category right below it, mainly because that includes all high-end condos where people need several hundred thousand in coverage in rare cases.

Most people won’t need hundreds of thousands in coverage unless they live in a very expensive condo or have extremely high-end items, furnishings, and features in their units. Most condo owners will be comfortably covered with $25,000 to $75,000 in coverage, so you’ll likely pay between $20 to $24 per month for your policy.

We’ll discuss more critical factors that affect average condo insurance in Iowa later on after we explain what exactly a policy covers.

Condo insurance in Iowa, officially known as the HO-6 insurance form, covers your unit’s interior and belongings from multiple sources of damage called perils. Condo insurance plans usually cover over a dozen perils, with the most common being theft, fire, wind, and water damage.

Condo insurance differs from standard homeowners insurance, the HO-3 form, because homeowners are responsible for insuring the whole structure of their house. Unit owners share responsibility for the structure of their building with other residents and pay for overall condo building insurance through their HOA dues. 

As a result, personal condo insurance in Iowa typically costs notably less than homeowners insurance in Iowa.

The coverages in each policy also differ slightly. Here are the coverages in a typical Iowa condo insurance policy:

You should shop around to make sure you’re getting the best condo insurance in Iowa. Shopping around and comparing quotes from a few carriers ensures you find the coverage you need at a price that aligns with your budget.

Visit the websites of a few providers to see what their policies are like and how to get a quote with them. Most carriers offer the same coverages but may advertise different endorsements (optional add-ons) and discounts. Some websites will allow you to quote online, while others will have you call an agent or representative.  

Note customer service and user experience when getting your quotes. Poor or unfriendly service is a bad sign, and it may cause more headaches down the road if you ever need to file a claim. 

You can also consult an independent insurance agent for help with your quotes. Independent agents partner with several companies and can help you find coverage that matches your needs.

As we mentioned earlier, condo associations have an insurance policy covering building exteriors, common areas, and amenities. This policy, called the master policy, is taken out by the condo association, and every resident contributes to insuring the complex through the master policy with their homeowners association (HOA) dues. 

You need to know how your master policy works when getting personal condo coverage. It can change your coverage needs. Some master policies won’t cover anything inside your unit, called bare walls or walls-out master plans. Other times, your master policy will be walls-in, meaning it covers permanent fixtures in your unit that came with the condo, like countertops and lighting fixtures.

Dwelling coverage is optional in HO-6 insurance in Iowa. If you have a walls-out master plan, you should get dwelling coverage to protect the interior surfaces of your unit. If you have a walls-in master plan, you may not need dwelling coverage.

Another important note regarding master insurance policies involves improvements you make to your unit. Sometimes, a walls-in condo association plan may not cover the “betterments and improvements” you make to your unit after you move in. It might only cover the original fixtures that were there. 

So, if you installed granite countertops or replaced carpet with tile, your master policy may only cover the value of what you had originally and not reimburse you for your upgrades. If this is the case, you should consider dwelling coverage in your personal plan for the best condo insurance in Iowa.

Everyone wants the best coverage and wants to save money simultaneously. You don’t want to sacrifice protection for cost. So, for help getting cheap condo insurance in Iowa, remember these tips:

Create a home inventory that lists all items you own and what you paid for them. The grand total is the precise amount of personal property coverage you need. Making a home inventory prevents you from overpaying for personal property coverage.

Every carrier offers a myriad of discounts. Ask which you qualify for and what it takes to be eligible for others. For instance, you may be able to save up to 20% by bundling your policies with your provider. You may also get discounts based on home security systems, military status, age, etc. You should also try to stay claims-free by maintaining your unit. You can get a claims-free discount over time.

The average condo insurance in Iowa is around $286 per year. This cost will fluctuate based on the risks to which your condo is exposed. Condos with a greater chance of suffering property damage will have higher premiums.

Condos in Iowa that are more prone to tornadoes or flooding may have higher premiums. Condos in crime-prone neighborhoods might also experience higher rates due to the increased odds of theft or vandalism damage.

The age and construction of condos can also impact rates. Unit owners in older buildings may have higher insurance rates because older buildings are more prone to damage. Their components, like the air conditioning, pipes, and wiring, can have more weather and tear and break down more easily. When these things break, it leads to unnecessary property damage that the insurer can avoid in many cases in newer buildings, so older dwellings may have higher premiums.

Insurers can look at personal factors, too, such as your claims history and credit score. Carriers can consider it a red flag if you’ve filed several property claims in the past three to five years. They think you’re more likely to file again, and you’ll likely pay higher premiums as a result to offset this risk. 

A particularly low credit score can cause you to have higher premiums in some cases, also. If you’ve proven to be bad at making timely credit payments in the past, some insurers will charge you more to offset the chances that you miss payments. Not every carrier looks at credit score, though.

No state laws require condo insurance in Iowa, but mortgage lenders and condo associations can require unit owners to get policies in many situations.

If you have a mortgage on your condo, your lender will mandate condo insurance as part of your home loan. Mortgage companies stipulate insurance as part of their home loans to protect their investments. If your condo unit gets destroyed, your lender can recoup their investment from your insurance company.

Condo associations can also require unit owners to get insurance sometimes, too. They can require owners to get coverage before they move into a complex. Unit owners maintaining their own insurance in addition to the master policy further limits liability for all residents and the association.

It’s essential to get several condo insurance quotes in Iowa when you’re shopping for coverage. At Clovered, we make comparing plans easy so you can get the coverage you need a the price you want.

As an independent insurance agency, our job is to help find a policy for you. Use our online quoting platform to see plans from top condo insurance companies in your area.

You can also call one of our licensed, in-house agents for help with your Iowa condo insurance quote at 833-255-4117 during business hours. Feel free to email us also at agent@clovered.com.