What is the main difference between an HO-4 policy and an HO-6 policy?

The HO-6 policy, also known as the condo insurance policy, is designed specifically for individuals who own a condominium. It provides coverage for personal property and also includes some degree of dwelling coverage that protects the walls and floors of the unit for which the owner is responsible, as defined by the association's bylaws. This means that if something happens to the interior structure, the owner can receive compensation for repairs or damages.

In contrast, the HO-4 policy, often referred to as renters insurance, is designed for individuals who are renting or leasing property. This policy does not provide any coverage for the dwelling itself since the renter does not own the physical structure. Instead, it primarily covers personal property within the rented space and provides liability coverage.

Understanding this distinction is crucial, as it reflects the different needs of property owners versus renters. The HO-6's inclusion of limited dwelling coverage along with personal property coverage distinctly sets it apart from the HO-4, which is completely focused on the rental aspect and contents coverage only.