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A condominium unit-owner buys an HO-6 policy. The condo association's master policy covers the building shell on a 'bare-walls' basis. Which coverage on the HO-6 is most directly designed to fill the gap between the master policy and the unit-owner's interest?
Coverage A (Dwelling) at a limit reflecting interior fixtures, improvements, and betterments not covered by the master policy
BCoverage B (Other Structures) at 10% of Coverage A for detached garages, sheds, or other structures the unit-owner separately owns on the premises
CCoverage E (Personal Liability) at $300,000 for bodily injury or property damage the unit-owner becomes legally obligated to pay to others
DCoverage F (Medical Payments) at $5,000 for guest injuries on the premises regardless of unit-owner fault
Why this is the answer
The HO-6 Unit-Owners Form is built around the divided insurable interest in condominium ownership. The condo association's master policy insures the building structure, but the depth of that coverage depends on the master's form: 'bare-walls' covers only the structural shell and common areas, while 'all-in' (or 'single-entity') extends to standard interior fixtures. HO-6 Coverage A fills the gap by insuring the unit-owner's interior alterations, appliances, fixtures, improvements, and betterments. Coverage C insures personal property; E/F provide liability and medical payments (ISO HO 00 06 Section I — Coverage A).
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