Connecticut • Insurance non-renewal or spike
Your Connecticut condo insurance spiked or excluded your foundation — pyrrhotite and the coast
Connecticut's insurance pressure has two faces: a hardening coastal market on Long Island Sound, and a foundation crisis that standard policies simply won't cover. A non-renewal or exclusion here is worth reading carefully.
The short answer
Connecticut is hardening statewide (10%+ renewals), the coast (Guilford, Old Saybrook, Stamford) is dislocating, and standard policies EXCLUDE crumbling-foundation (pyrrhotite) losses — covered only by the state captive CFSIC, which sunsets in 2030. CondoSignal reads your master policy and HO-6 against the Connecticut market. Free.Connecticut at a glance
Foundation losses
Excluded
Covered only by CFSIC (sunsets 2030).
Renewals
10%+
Steeper on the coast.
Master vs HO-6
Master often primary
For in-unit losses, post-1983 condos.
Property floor
80% ACV
Plus liability & fidelity (§ 47-255).
The foundation exclusion
Standard homeowners and master policies exclude crumbling-foundation (pyrrhotite) losses. Connecticut created CFSIC — a state captive funded by bonds and a $12-per-policy surcharge — to cover affected condo associations, but it caps coverage and sunsets June 30, 2030. After that, unfunded foundation work falls on owners and boards. If your building is in the affected belt, the foundation's status is the central insurance question.
Coastal hardening and the master-is-primary rule
Coastal towns face 10%+ renewals, carrier pullback, and shifts to the FAIR Plan or surplus lines. A Connecticut-specific wrinkle: for many post-1983 condos whose master policy covers the units, the master is primary over your HO-6 for in-unit casualty losses — so the association typically bears the deductible and repair. Knowing which policy is primary changes how you read a claim.
What's required
Associations must carry master property at 80% of actual cash value plus liability and fidelity (§ 47-255). A deductible over 5% of coverage can threaten conventional financing, and flood is separate. Reading the master policy against your HO-6 — and confirming the foundation and flood posture — is the full picture.
Your rights in Connecticut
Connecticut associations must carry master property at 80% of ACV plus liability and fidelity (§ 47-255), and for many condos the master is primary over the owner's HO-6. None of this is legal advice — confirm against CIOA and a Connecticut-licensed broker.
What to check
- In the affected belt, confirm the foundation's pyrrhotite status and CFSIC coverage.
- Establish whether the master or your HO-6 is primary for in-unit losses.
- Find the master deductible and any 5%+ financing risk.
- For coastal buildings, check FAIR Plan/surplus-lines reliance and flood.
- Confirm fidelity coverage is in place (§ 47-255).
- Confirm your HO-6 coordinates with the master policy.
Sources
- Conn. Gen. Stat. § 47-255 — insurance(High)
- CFSIC — Connecticut Foundation Solutions Indemnity Company(High)
Educational only — not legal, financial, or engineering advice. Confirm against the current statute and, where it matters, a Connecticut-licensed professional.
FAQ
Frequently asked questions
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