What a Georgia condo master policy must cover, and what your HO-6 is for

Condo insurance confuses buyers because two policies cover one home. The association carries a master policy on the buildings, and each owner carries a unit-owner policy, usually called an HO-6. The question is where one stops and the other begins. In Georgia, the statute draws much of that line.

A condo is usually insured under two policies: the association's master policy and the owner's own unit-owner (HO-6) policy, which may cover only the unit interior and contents. Owners should check the association's documents to see which items the master policy covers. (Maryland Insurance Administration, checked 2026-10-19)

That general description comes from a state insurance regulator’s consumer guide. For Georgia, the Condominium Act itself sets what the association must insure.

What Georgia requires the master policy to cover

The association must carry property insurance at full replacement cost on all buildings, including common elements, foundations, roofs, exterior walls, windows and doors, and (for each unit) the HVAC, drywall, and original-grade floors, cabinets, plumbing and electrical fixtures and kitchen/laundry appliances. (Official Code of Georgia (via FindLaw), checked 2026-10-19)

Read the second half of that list carefully. It reaches inside the unit. Drywall, cabinets, floors and fixtures of the original grade are on the association’s policy, not just the roof and exterior. What that means in practice:

• If you replace builder-grade cabinets with custom ones, the upgrade may not be on the master policy. Your HO-6 needs to cover improvements.
• If the condo was built with carpet and you installed hardwood, ask how the master policy treats the difference.
• Your furniture, clothes and electronics are never on the master policy.
• The declaration may say more about who insures what. Read it along with the certificate of insurance.

A simple example shows how the line falls. Say a pipe in the wall bursts and soaks your unit. Under the statute, the drywall, the original cabinets and the original floors are on the association’s policy. The new rug you bought, your sofa and the upgraded countertops you installed are not. Your HO-6 covers those, and it may also cover your share of the master-policy deductible if the association passes it to you. The exact answer depends on both policies and the declaration, so read them before you need them.

The association must also carry commercial general liability insurance of at least $1 million per occurrence and $2 million aggregate. (Official Code of Georgia (via FindLaw), checked 2026-10-19)

The association’s liability policy protects the association. It does not cover an injury inside your unit or damage you cause to a neighbor. That is what the liability part of your HO-6 is for.

Deductibles can land on the owner

If the condominium instruments allow, the association can pass part of a master-policy deductible to affected owners, capped at $5,000 per owner per casualty loss. (Official Code of Georgia (via FindLaw), checked 2026-10-19)

If the condominium instruments allow it, a leak that starts in your unit could leave you paying part of the master policy deductible. Ask the association for the current deductible amount, and ask your HO-6 agent whether your policy covers a deductible charged to you. Because this figure comes from the Code as published on FindLaw, current as of March 2024, have your agent or attorney confirm it is still current.

Loss-assessment coverage

Loss-assessment coverage (an optional HO-6 add-on) can pay an owner's share of an association assessment for a loss above the master policy's limits. (Maryland Insurance Administration, checked 2026-10-19)

A large loss to the common elements, a liability claim against the association, or a gap in the master policy can lead to a special assessment shared by every owner. Loss-assessment coverage is how owners protect against that. Ask your agent to quote it and to explain its limit.

Common elements and limited common elements

The legal terms matter here, because the declaration uses them to assign both maintenance and insurance.

A balcony, a patio or a parking space assigned to your unit may be a limited common element. Ask the association who repairs it and whose policy covers it.

How to read the certificate of insurance

Associations usually share a one- or two-page certificate rather than the whole policy. It is enough for most buyers if you know what to look for.

• The named insured should be the condominium association, with the condominium’s name.
• The policy period. A certificate that expires before your closing needs an update.
• The property limit and whether it is written at replacement cost.
• The deductible, including any separate deductible for wind, hail or water damage.
• The general liability limits, which you can compare with the statutory minimum above.
• Whether directors and officers coverage and fidelity (crime) coverage are listed.

If something is missing or unclear, ask the association’s manager or insurance agent to explain it in writing. Your lender will review the certificate as well, and may ask for changes before closing.

Questions for your HO-6 agent

1. Given the master policy’s scope under Georgia law, what does my policy need to cover inside the unit?
2. How do you value improvements I made, or that a previous owner made, above the original grade?
3. Does my policy pay a master-policy deductible charged to me, and up to what amount?
4. What loss-assessment limit do you suggest for this building?
5. If I rent the unit, even for a few nights, does the policy still apply, or do I need a different form?

That last question matters for owners who plan any kind of rental. Tell your agent how you will use the unit before you buy the policy, not after a claim.

Flood is a separate question

FEMA's Flood Map Service Center (msc.fema.gov) is the official public source for flood hazard maps. Check the specific building there; we do not state any parcel's flood zone. (FEMA, checked 2026-10-19)

Do not assume either policy includes flood coverage. Look up the building on FEMA’s Flood Map Service Center and ask your agent and the association whether flood coverage is carried. We do not state a flood zone for any parcel.

What to request before you close

1. The association’s current certificate of insurance, naming the insurer, limits and deductible.
2. The declaration and bylaws sections on insurance and on who repairs what.
3. Any recent large claims or special assessments tied to insurance.
4. An HO-6 quote that covers contents, improvements, liability, deductible charges and loss assessment.
5. Your lender’s insurance requirements, which may ask for specific coverage.

Our HO-6 insurance guide covers the Dahlonega details, and the condo buyer checklist keeps these requests in order with the rest of your due diligence.

Questions buyers ask

Next step: see how Gold Peach Realty works with buyers and ask your agent to request the certificate of insurance as soon as you are under contract.

Written by the Dahlonega Condos Editorial Team. AI tools help us draft; people check every fact before it publishes.

Rules, rates and approvals change. Every rule on this page links to the office or statute that sets it; confirm with that source before you rely on it.