All risks (comprehensive) insurance policy including, in accordance with the provisions of the Law, minimally property damage insurance and civil liability insurance.
April 15, 2020 — The Government of Quebec published in the Official Gazette of Quebec, on April 15 2020, a regulation on divided co-ownership insurance, which clarifies the terms and dates of entry into force of some of the provisions introduced by Bill 141, in June 2018. This bill provided that six of the elements contained in it would be passed by government regulation. For the time being, only four are touched by this regulation.
Your co-ownership is exposed to various risks, such as fire, water damage, theft and vandalism. When a loss occurs, the insurance of the co-ownership covers the immovable and the civil liability of the syndicate of co-owners.
The syndicate has the obligation to subscribe this type of insurance. The Law and the vast majority of declarations of co-ownership make it compulsory. The insurance contract describes the guarantees offered, their limits, exclusions, and the amounts of the deductibles.
The insurance premiums are the amount paid by the insured monthly or annually to benefit in the event of a claim from the guarantees in the insurance policy. It is an expense towards the preservation, maintenance and administration of the immovable. Although the syndicate assumes this cost, it is charged back to the co-owners as a portion of their common expenses (condo fees).
Even though some short-term residential rental websites offer insurance for that type of leasing, the fact that you are renting your apartment to tourists, remains essential information to be communicated to both your home insurer and your syndicate insurer. Remember that the insured must declare to his insurer any circumstance resulting from events within his control, which aggravates the risks stipulated in the insurance policy. This will avoid horror stories on the occasion of a loss.