You’re closing on a condo, or downsizing from a house, and the lender wants proof of insurance for a unit you share walls, a roof and a parking garage with. The HOA says it has a master policy. Or maybe the unit upstairs just leaked through your ceiling. Either way, the question is the same: where does the association’s coverage stop and yours begin?
This guide walks through how Texas condo insurance works: the master policy and the law behind it, what an HO-6 covers, the common gaps and what to ask your HOA. It’s written by our team in Arlington, so the examples lean North Texas.
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Who insures what in a Texas condo: the HOA or you?
The short answer: Your association’s master policy and governing documents decide it, so reading the declaration, bylaws and master policy summary is the first step before you choose an HO-6.
A condo isn’t insured like a house, because you don’t own all of it. You own your unit and share the common elements (roof, hallways, pool, parking) with every other owner. Texas law defines common elements as “all portions of a condominium other than the units,” and the declaration draws the unit boundaries. That boundary is usually where the insurance line falls, too.
The Texas Uniform Condominium Act (Texas Property Code, chapter 82) requires the association to carry insurance. As of September 2026, § 82.111 says the association must maintain, to the extent reasonably available, property insurance on the insurable common elements and commercial general liability insurance. It also says the association’s policy “does not prevent a unit owner from obtaining insurance for the owner’s own benefit,” and that claims under the association’s property policy are adjusted with the association, not individual owners.
Two details trip people up:
- Not every Texas condo follows chapter 82 the same way. The act as a whole governs condominiums whose declaration was recorded on or after January 1, 1994. For older condos, § 82.111 applies only to events on or after that date and doesn’t invalidate existing provisions of their declaration or bylaws, so ask which rules your association follows.
- “HO-6” is shorthand, and wording varies. It’s the common name for a condo unit-owner policy. According to the Texas Department of Insurance, Texas insurers have been able to file and use their own policy forms since 2003, so two unit-owner policies can word the same coverage differently.
When we review a condo policy, the first things we ask for are the declaration’s insurance and maintenance sections and the master policy summary. Without those, anyone choosing your HO-6 limits is guessing. If you rent a condo rather than own it, you don’t need an HO-6; our guide to what renters insurance covers in Texas covers what a tenant should carry.
What kind of master policy does your association carry?
The short answer: Master policies range from covering only the bare structure to covering the unit as originally built, or even owner upgrades, and that choice sets how much interior coverage your HO-6 needs.
The Insurance Information Institute describes two basic approaches: the association insures units “as they were originally built, including standard fixtures,” or it is “responsible only for insuring the bare walls, floor and ceiling.” The common industry terms below aren’t defined in Texas law, so treat them as shorthand to verify:
| Master policy style | What it generally insures inside your unit | What your HO-6 usually has to pick up |
|---|---|---|
| Bare walls | The structure only: bare walls, floor and ceiling. | MostDrywall finishes, flooring, cabinets, fixtures, built-ins and any upgrades. |
| Single entity (original construction) | The unit as originally built, including standard fixtures. | SomeUpgrades and improvements owners added, plus anything the declaration excludes. |
| All-in (all-inclusive) | The unit as built plus some owner improvements, depending on the policy. | LessBelongings, liability, loss of use, loss assessment and any gaps the policy leaves. |
Texas law adds its own baseline. As of September 2026, § 82.111 says that if a building has units with horizontal boundaries described in the declaration (think stacked units in a mid-rise), the association’s property insurance, to the extent reasonably available, must include the units, but “need not include improvements and betterments installed by unit owners.” In plain English: in a stacked building, the association’s policy generally has to include the units themselves, but the granite and new flooring an owner added can be left to you.
That 80% is a floor for the association’s policy, not yours. You can’t size your HO-6 until you know which style of master policy your building carries and what your declaration says about fixtures and improvements.
What does an HO-6 condo policy cover?
The short answer: An HO-6 generally covers the parts of your unit the master policy doesn’t, your belongings, extra living costs after a covered loss, your personal liability, and your share of certain association assessments.
The Insurance Information Institute says an individual unit-owner policy “provides coverage for your personal possessions and for any structural elements not covered by the master policy,” plus liability and likely additional living expense protection. Here’s how those pieces usually map to real life:
The inside of your unit
Walls, floors, cabinets and fixtures that your declaration makes your responsibility and the master policy doesn’t insure.
Upgrades you or a prior owner made
Remodeled kitchens, new flooring and built-ins. Texas law doesn’t require the association to insure owner-installed improvements.
Your belongings
Furniture, clothes and electronics damaged or stolen in a covered event. A master policy doesn’t insure these.
A place to stay
Extra living costs, like a rental and meals out, if a covered loss makes your unit unlivable while it’s repaired.
If someone blames you
Injuries or property damage you’re legally responsible for, including water that escapes from your unit into a neighbor’s.
Your share of a covered loss
Helps with your share of an assessment charged to all owners after a covered loss, up to your limit.
Liability deserves a second look. As of September 2026, § 82.111 requires the association’s policy to treat each unit owner as an insured for liability arising from their undivided interest in the common elements or membership in the association. That’s the shared space. A guest who slips in your kitchen, or your washer hose flooding the unit below, is a job for your own liability coverage.
A question we often hear from downsizers: “Can I keep the limits I had on my house?” Usually not. A homeowners policy is built around rebuilding a whole house; an HO-6 is built around your slice of the building. If you’re moving from a house, our homeowners coverage guide explains the HO-3 style coverage you’re leaving behind.
Do Texas townhome owners need an HO-6 or a homeowners policy?
The short answer: It depends on what you own: if you own the structure and the land under it, a homeowners policy may fit, and if you own a unit in a condominium regime, an HO-6 usually does.
“Townhome” describes a building style, not a form of ownership. Two identical-looking townhomes can be insured completely differently:
- Fee-simple townhome. You own the building and the lot, and the HOA owns only shared amenities. You’re often responsible for insuring the whole structure, and a homeowners policy may fit.
- Condominium townhome. The community was created under a condominium declaration and the exterior and roof are common elements. The master policy usually insures the structure, and an HO-6 fills in behind it.
- Something in between. Some associations insure roofs or exteriors only. The declaration and master policy settle it.
Your closing documents and the HOA’s insurance summary tell you which one you have, not the listing. If you own the whole structure, start with our guide to Texas homeowners coverage, because rebuild cost, roof settlement and your wind and hail deductible all become your decisions.
How do loss assessments and master deductibles reach your wallet?
The short answer: After a covered loss, your association may pass its deductible and other uncovered costs to owners, and your HO-6 loss assessment coverage may help, depending on the loss, your limits and any sublimits.
The Insurance Information Institute describes this coverage (it uses the name unit assessment) as reimbursing “your share of an assessment charged to all unit owners as a result of a covered loss.” Three things follow:
- It isn’t every special assessment. Repaving the parking lot or funding reserves is a budget decision, not a covered loss, and loss assessment coverage generally isn’t built for it.
- It isn’t automatically the master deductible. Some policies may help with your share of the association’s deductible, often under a lower sublimit. It depends on your policy.
- The limit is yours to choose. Limits and sublimits vary by policy. Pick yours with the master deductible in view.
Texas law gives associations room on deductibles. As of September 2026, § 82.111 lets association policies carry “commercially reasonable deductibles as the board determines appropriate or necessary.” Below the deductible, whoever would be responsible for the repair without insurance pays. Above it, the association’s dedicatory instruments decide who pays the deductible; if they’re silent, the board decides by resolution, or it becomes a common expense. Those rules came from House Bill 2075 (2013).
In North Texas, the deductible that matters most is usually wind and hail. Texas recorded 902 major hail events (hailstones one inch or larger) in 2025, the most of any state, according to the Insurance Information Institute, citing NOAA’s Storm Prediction Center. A building-wide hail claim is when a percentage master deductible becomes a per-owner bill.
- The master deductible is 2% × $12,000,000 = $240,000.
- If the declaration spreads it equally across 80 units, each owner’s share is $240,000 ÷ 80 = $3,000.
- If your HO-6 caps deductible-related loss assessments at $1,000, and it applies to this assessment, you’d still owe about $2,000, before any deductible on your own policy.
When we check a condo policy, we put the master wind and hail deductible in dollars first, then divide it the way the declaration says. It’s the fastest way to test your loss assessment limit.
By clicking Get My Free Quote, I give Robinson Legacy Partners LLC, an Allstate agency, and its licensed agents my prior express written consent, by electronic signature, to contact me with calls and text messages — including marketing calls and texts made using automated technology or an artificial or prerecorded voice — and by email, at the number and email I provided, about my insurance quote and related insurance products and services, even if my number is on a Do Not Call list. My information is never sold or shared with other agencies for their own marketing. Consent is not a condition of purchase; I can call (817) 262-5300 instead. Message frequency varies. Message and data rates may apply. Reply STOP to opt out, HELP for help. I agree to the Privacy Policy and Terms of Use, including the arbitration clause and E-SIGN consent.
Who pays when water comes from the unit above?
The short answer: It depends on where the water started, what caused it, how your declaration assigns repairs and whether the damage exceeds the master deductible, so the answer may involve your HO-6, your neighbor’s policy or the association.
Stacked living means shared plumbing, and one burst supply line can involve two owners, a board and several insurers. The usual questions:
| Situation | Where the answer usually comes from |
|---|---|
| Damage to your belongings | Your HO-6A master policy doesn’t insure your personal property, so this is usually your own contents claim, subject to your deductible and the cause of loss. |
| Damage to your interior finishes | DependsYour HO-6 or the master policy, depending on the master policy style and what your declaration makes your responsibility. |
| Repair costs under the master deductible | DependsUnder § 82.111, the party who would be responsible for the repair without insurance pays. |
| The upstairs owner caused it | Depends§ 82.111 lets the association assess the deductible and excess costs against an owner whose act or omission caused the damage. That owner’s liability coverage may respond. |
| A slow leak that went on for months | Often excludedA continuous water leak is a common exclusion, according to TDI’s home insurance guide. |
That’s why liability on your own HO-6 matters: if the leak starts in your unit, you could be the owner assessed, and your liability coverage may help, depending on your policy and the facts.
Does a Texas condo policy cover flooding?
The short answer: No, standard policies exclude flood, and even if your association buys NFIP flood coverage for the building, your belongings usually need a separate flood policy of your own.
FloodSmart, FEMA’s National Flood Insurance Program (NFIP) site, says most homeowners and renters policies don’t cover flood. For condos, flood coverage comes in two layers:
- The association’s building policy. An association can buy a Residential Condominium Building Association Policy (RCBAP). According to FEMA’s condominium association brochure (January 2025), it can pay up to $250,000 in building loss payments for any one unit, and it doesn’t cover unit owners’ personal property.
- Your own flood policy. FEMA says associations should encourage owners to buy their own contents or building coverage. As of September 2026, NFIP contents coverage for a home goes up to $100,000 (FloodSmart policy terms), and FloodSmart notes condo and townhouse owners in participating communities are eligible.
Timing matters. NFIP coverage generally takes effect 30 days after purchase, with some exceptions, such as a policy bought in connection with a mortgage. And don’t rule it out just because your building isn’t in a mapped high-risk zone: FEMA reports that nearly one-third of NFIP claims (29%) from 2014 to 2024 came from outside high-risk flood areas (FloodSmart flood risk).
In North Texas, think flash flooding near creeks and below-grade parking. Ask whether the building carries flood coverage, then decide on your own. Our flood insurance page explains how we help Texas owners add NFIP coverage.
What drives the cost of a Texas condo policy?
The short answer: Your HO-6 price mostly depends on how much of the building your master policy leaves to you, plus your contents, liability and loss assessment limits, deductibles and location; published averages are context, not a quote.
The National Association of Insurance Commissioners tracks condo unit-owner (HO-6) premiums separately from house policies; its latest homeowners report, published July 2026, covers 2023 data. House figures are a different product: the Texas Department of Insurance puts the average Texas homeowners premium at $3,291 for 2024, and the NAIC’s figure for HO-3 policies, summarized by the Insurance Information Institute, was $2,397 for 2022. They differ because they measure different years and policy types, and neither describes a condo unit, where the master policy carries much of the building. Averages are context, not a quote.
What actually moves an individual HO-6 premium:
- Your interior dwelling limit. A bare-walls master policy leaves more of the unit to you.
- Improvements and betterments. A remodel raises what it costs to put your unit back.
- Contents and liability limits. Higher limits cost more; liability is not the place to cut corners.
- Loss assessment limit. A higher limit may add cost and may prevent a large bill.
- Deductibles. A higher deductible generally lowers the premium and raises what you pay at claim time.
- Location, building and claims history. Weather exposure, building age and prior claims can matter. Insuring your condo and cars together may lower what you pay; eligibility and discounts vary.
What should you ask your HOA before you buy or renew?
The short answer: Ask for the declaration, the master policy summary and its deductibles in dollars, what the master policy includes inside units, whether the building has flood coverage, and the leasing rules, then set your HO-6 limits to match.
You need a few answers in writing. Here’s the order we work through with condo owners:
- Get the declaration and bylaws
Find the insurance, maintenance and unit-boundary sections, and ask whether your condo follows chapter 82.
- Request the master policy summary
Ask for the certificate or summary showing limits, expiration and what it includes inside units. Texas law requires at least 30 days’ written notice to the association before the insurer cancels or non-renews it.
- Put the master deductibles in dollars
Ask for the all-perils deductible and any wind and hail deductible, and how the declaration divides deductible costs among owners.
- Ask what is included inside your unit
Is it bare walls, original construction or broader? Are owner upgrades included? That answer sets your interior dwelling limit.
- Ask about flood coverage
Does the association carry NFIP building coverage? Either way, decide on your own contents coverage early.
- Check the leasing rules
If you might rent the unit out, ask what the association allows and tell your agent before a tenant moves in.
- Match your HO-6 and review it yearly
Set interior, contents, liability and loss assessment limits to those answers, and revisit them at each master renewal or remodel.
For a checklist covering every policy in your household, including reading a declarations page, see our Texas insurance policy review guide. Questions about your rights under the declaration belong with the association or a real estate attorney. For questions or complaints about an insurer, TDI’s consumer help line is 800-252-3439.
The bottom line
Texas condo insurance works as a pair: the association’s master policy insures the building and common elements, and your HO-6 covers the part of the unit it leaves to you, your belongings, your liability and your share of certain assessments. The line between them is drawn by your declaration and the master policy, not by a label like “bare walls” or “all-in.” The gaps that catch owners most often are upgrades nobody insured, a master wind and hail deductible passed to owners, water from another unit, and flood, which standard policies exclude.
If you’d like a second set of eyes, send us your ZIP below or call (817) 262-5300. Bring the master policy summary and your declaration’s insurance section. We’ll put the master deductibles in dollars, match your interior and loss assessment limits to them, flag flood and rental questions, and quote Allstate condo coverage that fits your unit. You can also start on our condo insurance page. Our team helps in English, Spanish, Arabic, Hindi, Punjabi, Urdu and Coptic, Monday through Friday from 8:30 to 5.
By clicking Get My Free Quote, I give Robinson Legacy Partners LLC, an Allstate agency, and its licensed agents my prior express written consent, by electronic signature, to contact me with calls and text messages — including marketing calls and texts made using automated technology or an artificial or prerecorded voice — and by email, at the number and email I provided, about my insurance quote and related insurance products and services, even if my number is on a Do Not Call list. My information is never sold or shared with other agencies for their own marketing. Consent is not a condition of purchase; I can call (817) 262-5300 instead. Message frequency varies. Message and data rates may apply. Reply STOP to opt out, HELP for help. I agree to the Privacy Policy and Terms of Use, including the arbitration clause and E-SIGN consent.
Texas condo insurance FAQ
Does a Texas condo association have to carry insurance?
Generally, yes. Texas Property Code section 82.111 requires the association to maintain, to the extent reasonably available, property insurance on the insurable common elements for at least 80 percent of their replacement cost or actual cash value, plus commercial general liability insurance. If that insurance is not reasonably available, the association must notify owners and lienholders. For condominiums whose declaration was recorded before January 1, 1994, the section applies only to events on or after that date and does not invalidate existing provisions of the declaration or bylaws. You will usually still want an HO-6 for your part of the unit.
What does a Texas condo HO-6 policy usually cover?
An HO-6, or condo unit-owner policy, generally covers the parts of your unit the master policy does not, such as interior finishes and improvements you or a prior owner made, plus your personal property, additional living expenses if a covered loss makes the unit unlivable, personal liability, and loss assessment coverage for your share of certain association assessments. How much interior coverage you need depends on the master policy style and your declaration. Texas insurers can use their own policy forms, so wording varies. Flood is excluded.
Does Texas condo loss assessment coverage pay any HOA special assessment?
Generally, no. Loss assessment coverage is designed to reimburse your share of an assessment charged to all unit owners as a result of a covered loss, such as a fire or windstorm that damages common elements. Assessments for routine maintenance, reserve shortfalls, planned upgrades or aging components usually do not qualify. Coverage for an assessment of your share of the association’s master deductible depends on your policy, and some policies apply a lower sublimit to deductible assessments. Compare your limit to the master deductibles in dollars before storm season.
Who pays the master policy deductible after damage to a Texas condo?
Under Texas Property Code section 82.111, if the repair costs less than the association’s deductible, the party who would be responsible for the repair without insurance pays for it. If the repair costs more than the deductible, the association’s dedicatory instruments decide who pays the deductible. If those documents are silent, the board decides by resolution, and if it does not, the cost is a common expense. The association may also assess the deductible against an owner whose act or omission caused the damage. Your HO-6 loss assessment or liability coverage may help, depending on your policy.
Does the association’s flood policy protect my Texas condo unit and belongings?
Only partly, and only if the association buys one. Standard condo and homeowners policies exclude flood. An association can buy an NFIP Residential Condominium Building Association Policy, which FEMA says can pay up to $250,000 in building loss payments for any one unit, but it does not cover unit owners’ personal property. To protect your belongings, and possibly parts of your unit the building policy does not fully cover, you would need your own flood policy. NFIP coverage generally starts 30 days after purchase, with some exceptions, so it is worth deciding before a storm is in the forecast.
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