When determining the insurance premium a condo owner will need to pay for adequate coverage, an insurance company may use the following criteria to determine a premium price:
How much it would cost to rebuild the condo unit after a covered loss
The deductible amount a condo owner would need to pay to make a claim
The neighbourhood in which the condo is located
The value of the contents and personal property within the condo unit
Any discounts that the condo unit owner is eligible for
The condo owner’s credit history (only applicable in certain provinces)
These criteria are all used to determine the insurance would needed for sufficient coverage that protects the condo unit based on the risk factors.