Use dotted terms for definitions. You can also browse the glossary.
Before you decide
- Master is a label that needs a definition.
- A large total limit may still have location or peril restrictions.
- A condo association master policy is a different arrangement from an owner portfolio.
Define the proposal
Ask whether “master” means a portfolio contract for your properties, a group program, or an association policy covering common interests. Obtain the actual insured names, participating locations, forms and limits. Do not compare an individual building limit with a portfolio total as if they were equivalent.
For a portfolio, identify which values are scheduled and which are shared. For a condo, the association documents and unit responsibilities are central. Washington’s regulator explains the interaction of association and unit coverage in its jurisdiction; that is not a universal division of interior ownership.
Run a simultaneous-loss test
Illustrative portfolio: two buildings each have a $1 million rebuilding estimate. Proposal A has separate $1 million building limits. Proposal B states a $2 million shared property limit. A $1.4 million loss at one location raises different questions under each: is the value estimate sufficient, can shared capacity apply and does a scheduled-value or margin restriction cap payment?
A shared catastrophe sublimit or annual aggregate can create another constraint. Read those terms before concluding that a blanket structure solves underinsurance.
Compare administration
| Topic | Individual arrangement | Portfolio question |
|---|---|---|
| Renewal | Separate dates and forms | Common date; are forms actually consistent? |
| Acquisition | New placement | Automatic acquisition clause, reporting and limits? |
| Sale | Cancel one contract | Remove location; minimum premium or fees? |
| Claims | Location-specific limit | Shared capacity, aggregate and deductible treatment? |
| Entities | One owner per contract | All legal owners properly insured? |
Choose based on the exposure
A portfolio arrangement can simplify records while concentrating reliance on shared terms. Individual contracts can isolate limits while creating inconsistent dates or exclusions. Neither structure is inherently better for every owner.
Retain a reconciliation showing values, clauses, administration costs and unresolved gaps. Obtain written confirmation before cancelling any contract or assuming a newly acquired property joins the program.
Sources & scope
- Travelers: Commercial property insurance
Carrier description of physical assets and optional exposures; not a universal unit-count eligibility boundary.
- Travelers: Calculating coinsurance
Carrier explanation of a property coinsurance clause when one applies. Not every form contains this condition.
- Washington Office of the Insurance Commissioner: How condo insurance works
Washington consumer context for master policies, unit responsibilities and loss assessments. Governing documents and rental eligibility control the particular inquiry.
Sources checked October 24, 2026. General descriptions do not replace the policy, endorsements, declarations or an insurer’s coverage determination. Examples are hypothetical unless explicitly identified otherwise.
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