Common Insurance Claims for Renters, Condo/Co-Op Owners and Those With Chubb Insurance

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Having insurance makes it easier to sleep at night when you know your possessions and financial future are protected. But the idea of having to actually make a claim might give you nightmares.

 

The best way to protect yourself when making a claim is to understand not just the process but the protection you have before you have to use it. Stick around to learn more about common insurance claims, including those that are common with certain policies.

 

What is an insurance claim?

If you’ve never had to make an insurance claim, consider yourself lucky. Whenever you have loss or sustain damage caused by a peril, you can make a claim to your insurance company, and be financially compensated for your loss. This is why it’s important to not just have insurance, but fully understand what it covers and if there are any limitations or exclusions to your coverage.

 

Making a claim isn’t difficult but there are several steps involved. If you’re working with an experienced broker, the process should be painless as they walk you through it. We’ve seen our share of claims and wanted to go over some of the most common, by policy type, so that you can be better prepared if you find yourself making a similar claim one day.

 

Common Renters Insurance Claims

Renters insurance is a must for renters, as a landlord’s policy will only cover the structure of the building and not the items in your apartment. Consider the following common claims when trying to decide if it’s worth it (hint: it is!)

 

Fire

We know that you’re responsible and rocking out this thing called life, but we can’t say the same for your neighbor. If they leave a candle burning that causes a fire in their unit, which then spreads into yours while you’re out having dinner, the loss of your items can be financially devastating. With renters insurance, your items are replaced based on the type of policy you’ve chosen, helping you get back on your feet.

 

Theft

Renters insurance can cover you from theft in two ways. The first way applies to theft that takes place in your home. If your apartment is broken into and the thief helps themselves to a few of your things, they’ll be replaced. But it can also cover you while you travel. If you’re out of town on a long weekend and someone snatches your suitcase while you’re checking into your hotel, the items inside would be covered. However, your policy may not include protection during travel automatically. You may need to add on an endorsement to ensure you’re covered.

 

Water damage

We see this claim quite a bit so it’s important to note that there are limitations when it comes to water damage. You will be covered if water damage is caused by a burst pipe. But if you want to be protected from a sewer backup or sump pump failure, you’ll need to speak to your insurance agent about adding an endorsement to your policy. Finally, flooding is a separate policy all together. If you live in a flood zone, speak to your agent about your coverage options.  

 

Common Co-op Insurance Claims

We find that common co-op claims are similar to renters insurance claims but here are some you may come across if you’re a co-op unit owner.

 

Personal liability

This is a big one that many don’t realize is part of their co-op insurance. If someone is injured in your co-op from a simple accident like tripping on a rug or falling over a chair, their medical bills become your responsibility. Co-op insurance has a cap with this type of coverage, depending on the amount you’ve chosen. Speak with your insurance agent if you’re not clear on your personal liability coverage caps.

 

Also, should that best friend of yours decide to sue you for lost wages or emotional distress due to their injury, co-op insurance covers litigation costs until your cap is reached.

 

Another person’s property

You’re normally not clumsy but you have your days. Imagine your friend is over and they brought their new laptop. You’re enjoying its features and impressive resolution when you suddenly knock over your glass of wine onto the keyboard. You try and mop it up, but you know it’s too late. The damage is done. Co-op insurance will save your friendship by covering the laptop.

 

Additional living expenses

Here’s another claim that many are unaware of. If your co-op becomes uninhabitable, either due to a fire or other covered incident, and you need to relocate to a hotel or family member’s house out of state, your coverage will reimburse you for your traveling, food, and other expenses.

 

What most don’t think about is that even though their co-op will be rebuilt with their landlord’s insurance policy and their items will be replaced by their co-op insurance policy, they could be left with extra bills due to dislocation. Having this added peace of mind will ensure a disaster doesn’t throw you off track.

 

Common Chubb Insurance Claims

common insurance claims chubb jewlery

Chubb Insurance is for high-end valuables. It provides added protection a standard policy can’t due to coverage caps and limitations. Here are some common Chubb Insurance claims you may find yourself making.

 

Jewelry

Most standard renters insurance policies cover jewelry but only up to a certain dollar amount. Therefore, a Chubb insurance policy is ideal for anyone with a healthy jewelry collection. Provide them with all the information about your pieces, such as cut, carat weight, materials, and cost, and they will be 100% covered.

 

For example, if your 2-carat engagement ring falls down the drain or slips off while window shopping on Fifth Avenue, a Chubb policy will cover it.

 

Art

If you own a truly one of a kind piece of art, having extra protection is a must. If a fire damages your Andy Warhol original, knowing that it will be compensated will allow you to display it with pride and confidence.

 

Antiques

Most antiques are simply irreplaceable, and their monetary value can be through the roof. So, if your antique dining table is lost in a covered incident or your great-great grandfather’s pocket watch is stolen, knowing that they will be compensated for is reassuring.

 

Collectibles

Whether you collect vintage coins, expensive bottles of wine, or classic automobiles, insuring your collection is a must. Chubb offers two ways to do this. You can either go with a blanket policy that protects the full collection or insure each individual piece. You can also use a combination of the two types for superior protection.

 

As you can see, there are a variety of policies out there and plenty of claims that you could find yourself making. Whether you rent an apartment or co-op or own unique and valuable items, insurance is simply a must. Taking the time to secure coverage today will provide you with a calmer tomorrow.

What’s the Difference Between a Condo and a Co-Op in New York City?

If you’re looking to get out of the rental market, buying a home isn’t just a great alternative, it’s a great investment. But if you’re in New York City, it can be a real challenge to find the right space.

 

One of the first decisions you need to make concerns the kind of home you’d like to invest in: a condominium, or a cooperative apartment, also known as a co-op. Below we’ll break down the differences between a co-op and a condo, and discuss your insurance options.

The Difference between Condominiums and Cooperative Apartments

Typically similar in structure to apartment buildings, condos are a grouping of adjoined housing units. However, that’s about where the similarities between condos and traditional apartments end.

 

In a condo unit, you own everything walls in, so you don’t have to worry about a landlord prohibiting you from painting your walls or hanging up shelves, for instance. With that said, although you might have the freedom to do with your unit as you wish, many condominium buildings also have requisites and restrictions, commonly enforced by a condo board.

 

Most condos are more expensive than co-ops, include annual maintenance and amenity fees, and some buildings even have age requirements, or limitations on renting out units. Rules and regulations aside, another perk of living in a condo is that you’ll also get to enjoy any shared facilities the building has to offer, such as gyms, pools, dog parks, or tennis courts.

 

Co-ops, like condos, are a group of living spaces that are adjoined to one another. When you’re a co-op owner, you’ve purchased shares in the cooperative corporation that owns the building, rather than the unit itself. As such, co-ops are maintained and operated by their owners and, therefore, if you become a member owner, your responsibilities may include community-wide duties such as deciding on new members, building maintenance and repairs, as well as other day-to-day tasks.

 

According to the New York Times, many prospective property owners in NYC opt for co-ops because many of them are more historic buildings, and the strict requirements for getting approved mean that the corporations tend to be financially secure. On the other hand, property seekers may prefer condominiums because more and more condo buildings are being developed in NYC. Take into consideration which neighborhood you’d like to buy property in, as areas like TriBeCa tend to have more condos for sale, while neighborhoods like the Upper East Side have considerably more co-ops available in the market.

Insuring Your New Home

Many condominium associations and cooperative corporations have their own insurance policies, called “master policies,” that vary in degrees of coverage. While location might affect the level of coverage available, there’s no real rhyme or reason to the variation of coverage from condo to condo.

 

With this in mind, make sure you carefully read through your community’s policy to see how much responsibility falls on the building and how much you’ll need to shoulder in the event of structural damage to your unit. For instance, if there’s a fire in your unit, is that covered by your building’s insurance, or does the policy only protect exterior walls and shared spaces, like the lobby or the parking garage?

 

Since your building’s master policy won’t cover you or your property, it’s a good idea to consider an insurance policy specifically for condominium and co-op owners. It’s the only way to make sure that you’re protected in the event of damages or accidents.

 

Having NYC condo insurance means you can be covered for a wide range of events and losses, like:

  • Theft
  • Fire
  • Wind
  • Personal liability
  • Damage to property belonging to other residents
  • Limited water damage
  • Hotel bills and other living expenses while your unit is being repaired after a covered loss occurs

 

A policy like this will also protect all of the belongings inside your unit, not just the unit itself, providing you with much needed peace of mind during the stressful moving process.

 

Now that you know the difference between a condominium and a cooperative apartment in NYC, you can make a more informed buying decision. Discuss your situation with one of our licensed insurance agents to find out what kind of policy you’ll need and how much insurance will adequately cover your new investment.