HO-6 Policy vs. HOA Master Policy: What Condo Owners Need to Know

When it comes to condo living, insurance coverage can feel like a gray area. Who handles damage inside your unit? What about issues in shared spaces like the roof, lobby, or hallways? The answer usually depends on two policies working in tandem: your HO-6 policy and your HOA master policy. 

Understanding the difference between these two is essential for protecting your home and your finances.

At RowCal, we work with HOAs and community associations every day. We’ve seen how confusion around insurance policies can lead to frustration and costly mistakes. This guide breaks it all down, so you can make confident, informed decisions about your coverage.

What Is an HO-6 Policy?

An HO-6 policy is a form of homeowners insurance designed specifically for condo and townhome owners. Also called “walls-in coverage,” this type of policy focuses on what’s inside your unit—since the building exterior and shared spaces are typically covered by the HOA’s master policy.

If you’re financing your home, your mortgage lender likely requires an HO-6 policy. But even if you own your unit outright, this coverage is crucial to protect yourself from unexpected events inside your home.

Your HO-6 policy typically includes:

Personal Belongings: Covers your furniture, clothing, electronics, appliances, and other personal property. If you experience a fire, theft, or certain types of water damage, your policy can help repair or replace your items.

For example, if someone breaks into your unit and steals your laptop and TV, your HO-6 policy would cover the replacement cost (up to your coverage limit).

Interior Fixtures and Finishes: Includes things like cabinets, countertops, flooring, drywall, paint, and built-in appliances. The extent of this coverage depends on what your HOA’s master policy excludes.

For instance, if a pipe bursts and damages your hardwood floors and kitchen island, your HO-6 policy steps in - assuming the HOA’s policy doesn’t cover interiors.

Improvements and Upgrades: Any custom additions or upgrades you’ve made, such as high-end fixtures, smart home systems, or luxury tile work, should be covered under your HO-6 dwelling protection.

Loss of Use (Temporary Living Expenses): If your home becomes uninhabitable due to a covered event, your policy can cover hotel stays, meals, and other living expenses while repairs are made.

Personal Liability: If someone is injured inside your unit or if damage originating from your home affects a neighbor’s unit, your policy can cover legal fees, medical costs, and property damage.

Medical Payments to Others: This is separate from liability and pays for minor injuries to guests without needing to establish legal responsibility.

Important Exclusions: Most HO-6 policies do not automatically cover flood, earthquake, or sewer backup damage, these usually require separate endorsements.

What Is An HOA Master Policy Cover?

The HOA master policy is an insurance policy purchased by your homeowners association to protect the structure of the building and any shared areas used by the community. This coverage is paid for collectively through your HOA dues.

Here’s what it typically includes:

Exterior of the Building: Roof, siding, foundations, exterior walls, doors, and windows (in some cases).

Common Areas: Hallways, elevators, stairwells, lobbies, pools, clubhouses, gyms, and shared parking structures.

Shared Systems: Electrical, plumbing, and HVAC components that service more than one unit.

General Liability: If someone slips, falls, or gets injured in a shared space, the HOA’s master policy covers legal and medical expenses.

Types of HOA Master Policies:

Bare Walls Policy: This is the most limited form. It covers only the external building shell and shared areas. It does not cover anything inside individual units—not even drywall, fixtures, or appliances. If your HOA uses this type, your HO-6 policy needs to include full interior coverage.

All-In (Single Entity) Policy: Covers both the building exterior and some original interior features of each unit (such as builder-installed flooring, countertops, or fixtures). However, it does not cover your personal belongings or any upgrades you’ve made.

Best Practice - Always request a copy of your community’s HOA master policy and review it with your insurance agent to make sure there are no surprises.

HO-6 Policy vs. HOA Master Policy: What’s the Difference?

In simple terms, your HO-6 policy protects everything inside your unit, and your HOA master policy protects everything outside your unit (and sometimes certain interior fixtures, depending on the policy).

Think of it like this:

  • A leak from a community roof damages your ceiling and drywall? The HOA master policy likely covers the roof repair, but your HO-6 policy covers the interior damage.

  • Someone breaks into your condo and steals your laptop and jewelry? That’s your HO-6 policy.

  • A guest slips and falls by the community pool? That’s on the HOA master policy.

Together, they form a full coverage picture - but gaps can occur if you don’t know where one ends and the other begins.

How to Avoid Insurance Gaps

We’ve seen many homeowners mistakenly assume the HOA handles all coverage. Unfortunately, that misunderstanding can lead to unexpected expenses when damage occurs inside your home or when you’re hit with a special assessment.

Here’s how to make sure you’re fully protected:

Review the HOA Master Policy: Request a current copy from your board or management company. Confirm what’s covered and whether the policy is “bare walls” or “all-in.” This determines how much your personal policy needs to do.

Work with a Reputable Insurance Agent: A knowledgeable agent can compare the master policy to your personal risks and recommend the right HO-6 coverage limits and endorsements.

Add These Key Protections to Your HO-6:

  • Loss Assessment Coverage: Helps cover your share of HOA costs if the master policy is maxed out or if the HOA needs to issue a special assessment after a major event or lawsuit.

  • Water Backup and Sump Overflow: Standard HO-6 policies typically exclude this.

  • Flood or Earthquake Coverage: Required separately in high-risk zones.

  • High-Value Personal Property Riders: Ensure full coverage for jewelry, electronics, or artwork that exceeds policy limits.

Understand Deductibles: You’re responsible for your HO-6 policy deductible for claims involving your unit. If the HOA master policy also has a high deductible (common with wind, hail, or storm claims), you could be responsible for a shared portion, especially if damage affects your unit.

3 Tips for Choosing the Right HO-6 Policy

Selecting the right HO-6 policy doesn’t have to be complicated, but it does require a little homework. Here are three key steps to make sure your coverage aligns with both your HOA master policy and your personal needs.

1. Tailor Your Coverage to Your HOA’s Policy

Start by reviewing your HOA’s master insurance policy. Is it a bare walls policy or an all-in policy? This distinction determines how much coverage your personal policy needs to include.

If your HOA has a bare walls policy: You’ll need full dwelling coverage for drywall, flooring, cabinets, countertops, and built-in appliances.

If it’s an all-in policy: You may only need to cover improvements or upgrades you’ve made - but don’t assume. Some all-in policies only cover the original finishes.

Also, consider any renovations or customizations you’ve made. For example, if you replaced builder-grade countertops with quartz or installed smart home devices, make sure those upgrades are reflected in your policy’s dwelling limit.

2. Add the Right Endorsements

Most standard HO-6 policies come with limits on certain categories of personal property. If you own high-value items or live in an area prone to natural disasters, you may need to add endorsements or riders.

Consider these common add-ons:

  • Scheduled Personal Property: For items like jewelry, fine art, or expensive electronics that exceed standard policy limits.

  • Loss Assessment Coverage: Covers your portion of an HOA special assessment when the master policy doesn’t cover the full cost.

  • Water Backup / Sewer Overflow: For damage from sump pump failures or drain backups.

  • Flood and Earthquake Insurance: Typically excluded from both master and HO-6 policies and often required in high-risk areas.

3. Review Your Coverage Annually

HOA communities evolve over time. New amenities may be added, building upgrades made, or common area risks may increase. Similarly, your lifestyle or personal property values can change year to year.

Make it a habit to:

  • Review the HOA master policy annually (your board should provide updated copies).

  • Adjust your HO-6 policy if you've made home improvements or purchased valuable items.

  • Check that your liability limits still make sense based on your risk exposure.

This annual check-in ensures you’re not underinsured or paying for unnecessary coverage.

Secure Your Condo with the Right Coverage

When it comes to HOA management and protecting your home, understanding the relationship between your HO-6 policy and your HOA master policy is essential. These two policies are designed to work together - but only if they’re both clearly defined and properly aligned.

Here's what to keep in mind:

  • The HOA master policy protects the structure of the building and shared areas, such as lobbies, roofs, and amenities.

  • Your HO-6 policy protects what’s inside your unit - your personal belongings, upgrades, and liability.

  • Gaps between the two policies can lead to costly out-of-pocket expenses if you’re not fully covered.

  • The right endorsements (like loss assessment coverage) can fill in financial blind spots that many homeowners don’t realize exist.

At RowCal, we know insurance isn’t always the most exciting part of condo ownership, but it’s one of the most important. Clear communication between your HOA board, insurance agents, and homeowners makes all the difference.

Need Help? RowCal Is Here.

RowCal partners with HOA boards and community associations across the country to simplify and strengthen HOA management. We believe homeowners should have peace of mind (not confusion) when it comes to coverage and responsibilities.

Whether you’re a board member reviewing master policies or a homeowner trying to understand where your HO-6 policy fits in, we’re here to help you get clarity and confidence.

Reach out to RowCal to learn how our HOA management services can help your community stay informed, protected, and well cared for.

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