Condo Insurance Coverages

Some condos have sump pumps in the basement or crawl space. Sump pumps pump water out from underneath and around the foundation. Sump pumps or plumbing/sewer systems can get backed up. If that happens, water can flood back into your condo, creating an expensive mess. Water back-up will then pay for damage to your belongings and water removal.
Condo insurance covers what you're responsible for as a condo owner. That means your belongings, upgrades (custom cabinets), injuries at your place, lawsuits against you, and temporary living expenses while your condo is being repaired.

Your insurance vs. condo association's insurance
Your condo association's policy covers what's their responsibility and your insurance covers what's yours.

Association covers

• Physical structure (roof, exterior siding, outside walls, windows)
• Common areas (gyms, pools, party centers, etc.)
• Your association may cover original features of your unit, such as the original floors, cabinets, kitchen countertops, etc. (if your association doesn't cover this, your insurance should)

Your insurance covers

• Your belongings
• Injuries on/around your property
• Temporary living expenses during repairs
• Property damage or injury lawsuits against you (even if the damages happen away from your condo)
• Customizations/upgrades, such as new granite countertops, updated kitchen cabinets (if you alter/change the unit, you will then become responsible for it)

There are plenty of grey areas. Such as if your roof leaks and your furniture is damaged. Your condo association should pay for those damages as the roof is their responsibility. Or, let's say a pipe bursts and damages your upgraded kitchen cabinets. Some associations cover plumbing and electrical. So your association may pay for that. In both situations, your insurance should cover these if your association will not.