On August 29, 2014, AM Best downgraded the financial strength rating for Companion Property and Casualty Insurance Company and its subsidiaries from A (Excellent) to B++ (visit this link to view the press release from AM Best). Companion has been one of the largest providers of condominium unit owner’s insurance in our area for many years. This downgrade is worth noting as it indicates Companion is currently experiencing some unfavorable financial issues. If at all possible, it is highly advised to be with a carrier that holds an A rating or better.
While we are on the topic condos, this is a good time to remind condo unit owners of the difference between their condo’s Master Association Policy and an HO-6, often simply referred to as a “contents policy”. It is a common misconception amongst condo owners that they don’t need their own insurance because their association holds a master association policy. This is far from the truth and leaves unit owners very exposed. Master policies generally only cover the condominium’s common areas, and will NOT insure any personal contents or liability within a unit. A condo unit owner’s policy offers protection for a condo unit, personal property, loss of use or rents, personal liability, and loss assessment. An HO-6 policy is a homeowner’s policy specifically designed for condo unit owners to cover against such perils as fire, lightening, smoke, theft, wind, hail, vandalism, burst pipes, and many more.
Click here to visit our website to learn more about condo unit policies. Please know that SSIA represents many A rated carriers offering condo unit owner/HO-6 policies. If you should have questions about your unit owner’s policy or carrier, please call us at 251-923-4463. We’re happy to help!