A condominium is one of the most expensive assets for many Singaporean families. However, very few people will remember to purchase condominium insurance despite spending millions of money buying one of the most coveted condos such as Marina One Residences. The fact that condo residents only own one unit has led to rising number of people without the condo insurance coverage. This means they would end up suffering significant financial losses in the event of accident or perils such as fire, burglary, or natural disasters. It is not mandatory to acquire condo insurance in Singapore, but it is highly advisable to own one.
The Management Committee of Strata Title Plan (MCST) maintains and provides coverage for most condominiums in Singapore including the Marina One Residences. MCST provides coverage against the exterior and other common areas such as hallways, condo amenities such as swimming pools and gyms, parking lots and mailboxes among others. However, MCST does not cover your house interiors, renovations, or any accidents that may happen inside the house hence there is a need for a condo insurance for these other protections.
Condo insurance policies vary from one company to another, but some plans are common among most insurers. Some of the policies that you can consider including in your insurance cover include:
- Liability Coverage
Accidents do happen in the condo and a friend or any other person visiting the house may file a lawsuit to cover their medical costs or property loss. Liability coverage protects the policyholder and family members from lawsuits filed against them by a third party after an accident or property damage.
- Personal Items
This insurance policy covers everything in the condominium and any other personal items lost or damaged outside the unit. The plan takes care of house interiors, renovations, leaking pipes, furniture, water damage, and fires in the house among other things. Some companies might give you a limit on coverage of expensive items in the home such as jewelry or electrical appliances.
Disputes tend to arise when different families are living in one building. One condo resident may sue another one for property damage or negligence. Condo insurance is essential since the insurer will help settle the claims and disputes between two or more condo owners.
- Loss of Use
Some damages after a catastrophic event such as a serious fault in the condo structure that makes it inhabitable may require you to relocate to a new place to give room for repairs and reconstruction. The insurer provides coverage for the period you will be staying away in a hotel during the reconstruction time.
Therefore, it is clear that we all require condo insurance coverage for protection from loss of personal belongings and the financial stress that follows a disaster. The coverage provided by MCST determines how much insurance plans you will require for your condominium. Some perils such as fires may need a separate cover in addition to the condo insurance. Keep in mind, these insurances may not be incorporated in the Marina One Residences condo price, so always inquire about that during the purchase.