An HO-6 policy is the homeowners insurance form designed for condominium and co-op unit owners. It covers the interior of your unit (often called walls-in coverage), your personal property, your personal liability, and loss of use — filling the gap between what you own and what your condo association's master policy covers.
How it works
Condo insurance is a two-policy system. The association's master policy covers the building's structure and common areas; your HO-6 covers what the master policy does not. Where the line falls depends on the master policy type: a "bare walls" master policy covers only the structural shell, leaving you responsible for everything from the drywall in — flooring, cabinets, fixtures; an "all-in" (or single-entity) master policy covers original interior finishes too, leaving you mainly your belongings and improvements. Your association's declarations and bylaws define the split, so your HO-6 dwelling limit should be set only after reading them.
Example (illustrative numbers): A pipe bursts inside a unit's wall, ruining $25,000 of flooring and cabinetry and $5,000 of furniture. Under a bare-walls master policy, the unit owner's HO-6 pays for the interior finishes and the furniture, minus the deductible. The owner might also owe part of the association's master policy deductible — say a $10,000 assessment — which loss assessment coverage on the HO-6 can pick up if it was purchased. Numbers are illustrative only.
Why it matters for your policy
The most common HO-6 mistakes are underinsuring the interior and ignoring the association's deductible. Practical guidance:
- Set Coverage A from the bylaws: Guessing a token interior limit is risky. Estimate what it would cost to rebuild your unit's interior at today's prices under your association's rules.
- Buy loss assessment coverage: Associations increasingly carry large master policy deductibles, especially for wind and hail, and can assess unit owners for them. Loss assessment coverage is inexpensive protection against that bill.
- Water matters: Water backup and adequate water damage terms are frequent condo claim issues — ask specifically.
Master policy structures vary widely by association, and HO-6 forms vary by carrier and state. For more on coverage for condo owners, see our condo insurance page.
Have questions about how your HO-6 should fit your association's master policy? Better Choice Insurance Group is an independent agency based in St. Charles, Illinois, licensed in 14 states. We’ll explain your options in plain English and compare coverage across our carriers — free, no pressure.
Related terms
- HO-3 Policy — The standard form for single-family homes, for comparison.
- Loss of Use Coverage — Pays additional living expenses if your unit becomes uninhabitable.
- Personal Property Coverage — The belongings coverage at the heart of every HO-6.
- Personal Liability Coverage — Liability protection included in the HO-6.
- Water Backup Coverage — An endorsement condo owners frequently need for drain and sewer backups.
Frequently Asked Questions
Doesn't my condo association's insurance already cover me?
Only partly. The master policy covers the building and common areas as defined in your bylaws - it does not cover your belongings, your liability, your living expenses if the unit is uninhabitable, or (under bare-walls master policies) your unit's interior finishes. The HO-6 exists precisely to cover those gaps.
How much dwelling coverage do I need on an HO-6?
Enough to rebuild the parts of the unit you are responsible for under your association's bylaws - which under a bare-walls master policy can mean all flooring, cabinets, countertops, fixtures, and sometimes drywall. Read the bylaws or ask the property manager where responsibility transfers, then estimate rebuild cost for your side of the line.
What is loss assessment coverage and do I need it?
It covers your share when the association assesses unit owners for a covered loss - most often the master policy's deductible after wind, hail, or water damage. With many associations carrying five-figure or percentage-based deductibles, loss assessment coverage is one of the cheapest and most frequently used HO-6 add-ons.
Last reviewed: August 2026 · Reviewed by Evan Larson, Licensed Insurance Agent