Insurance news and information

If you manage an older apartment or condominium complex, you’ve either had to or will have to deal with lead. Many buildings from pre-1978 have had to undergo removal of lead-based paint products in order to comply with federal guidelines protecting residents and their children from unnecessary lead exposure. If your building hasn’t had all lead-based paint removed, this posting is for you.

October 1, 2010 came quietly enough, but many associations and their maintenance staff may now be facing increased scrutiny from the Environmental Protection Agency. That’s because the EPA is now enforcing its lead-based paint Renovation, Repair and Painting rule. Lead paint is relatively harmless until it is disturbed. Through cutting, sanding, demolition, and other common maintenance procedures, the paint is turned to dust which is easily inhaled by adults, children, and pets. Ultimately, you are responsible for hiring a contractor that performs their duties in a way which will keep your unit owners/tenants safe during this work. By closing off the work area and completing the work carefully, contracts can minimize the danger posed. In addition to hired contractors, if you employ any maintenance workers who complete work on older buildings where lead based paint may be found, you should send your employee to a training class to stay in agreement with the law.  Read more…

As summer approaches and residents head outdoors, apartment and condo associations should be ramping up their maintenance and keeping a more vigilant eye on property conditions. More than just conditions around pools and tennis courts, association properties are riddled with potential problem areas that could create physical hazards as well as financial ones for the association coffers.

The more common areas of concern are those pools, tennis courts, walkways, and parking areas. But associations should look deeper into the property and locate maintenance issues before they become large setbacks.  Read more…

Community association boards often waver between doing what’s expected of the community per the bylaws and what’s right to do. Case in point – pets. Many communities prohibit pets for obvious reasons: the noise, the smell, the additional stress on the lawns and property, etc. But holding a strict line could land your association in legal hot water.

 That’s because some homeowners require the use of service animals. Seeing-eye dogs are the obvious exception to your board’s rules. And the exception should be made, because to deny a disabled person the right to animal assistance is in direct violation of federal and state disability legislation. But some pet owners are going to great lengths to claim disabilities in order to keep pets that wouldn’t otherwise fall under the definition of a service animal.  What about a service monkey to assist the disabled, or a guide horse for the blind?   It’s an area of the law that lacks clear definition, and while the Department of Justice has a proposal pending that would exclude exotic animals (such as snakes or other wild animals, there’s no clear legal precedent to follow.

Read more…

Much has been written about condo and apartment association insurance versus insurance carried by condo / apartment unit owners. The two main types of coverage offered to condo associations are:

 1) Bare Walls In – policies covering all real property from the exterior framing inward, excluding fixtures or other installations within the unit.

 2) All In – policies covering all fixtures, installations, or additions within the interior surfaces of the individual units.

 Obviously the best one for your unit owners would be the All In condo association insurance policy, which would limit the need for owners to purchase additional coverage. Condo associations buying Bare Walls In coverage leave a bit more loss exposure for their unit owners. Most condo associations will advise unit owners on which policy is covering the premises. But what about deductibles? Read more…

As a condo association, your board has worked hard to maintain a certain standard. That could include the caliber of homeowner. In fact, in a few cases, condo associations have stepped in just as a condo owner is about to close the sale and exercise what’s known as “first right of refusal.” That is, the board will instead offer to buy the property instead of the buyer who has already lined up to purchase the condo. While the practice is much less used in a condo association setup, those people trying to sell through a cooperative association have one very large roadblock to overcome. Read more…