Who pays Deductible? – Q & A part 1 By Melissa Esham 4/2/2015 Incident: Mary lives in Happy Beach Condominium in Maryland. Mary’s washing machine overflows when she is trying to wash her big, thick beach towels. Water flows to Mary’s neighbor below and causes damage to Mary’s and the neighbor’s unit. Happy Beach Condominium’s insurance policy will pay for the damages to the unit. Mary has purchased a condominium unit owner’s policy to repair or replace her contents. Who pays the deductible? Condominium associations in Maryland have master policies that cover the building and the units from most perils. Condo owners can purchase insurance to cover contents, improvements and betterments, renter liability and the master policy deductible. Some associations and lenders require a unit owner to purchase the condominium unit owners policy and others do not. To make sure you do not have a gap in your insurance: Check with your management company or review your bylaws to see if a condominium unit owner policy is required. Check to see the amount of the master policy deductible. Contact your agent to make sure your condominium unit owner’s policy will cover the deductible in the event of a claim. Resolution: Mary’s insurance carrier for her condominium unit owner policy paid the deductible amount of the master policy. Mary was still required to pay the deductible on her policy. She also has made a rule about how many beach towels can be washed at one time. Thanks for reading. Contact Atlantic/Smith, Cropper & Deeley with your policy questions.