Insurance news and information

Flickr photo credit: .res

You as a condo association member understand that general liability – the foundation of your insurance program – covers only certain areas within and around the property buildings and grounds. What you may not understand is how your residents view your coverage. While it may seem a no-brainer to you that your insurance policy isn’t going to cover their personal claims, residents may not know this. Time for a little Insurance 101 for your residents.

In general, the condo or apartment association’s general liability policy will cover the following:

• All common areas of the condo association property
• The structure of the units, including roofs, outside walls, the buildings themselves (note: this does not include individual units, but rather the structure they are housed in) 
• The property’s common areas, such as the pool, tennis courts, exercise facilities, offices 
• Liability for injuries to people that occur in common areas Read more…

Flickr photo credit: AchimH

Where are the Gaps?

 Your association’s property coverage came from a company in another state.

Your policy covering association vehicles – yet another company and carrier.

While these policies may very well cover all your needs, having them scattered among various providers could in fact be masking some serious coverage gaps.

 Suppose you have an apartment association insurance liability policy with Insurer A. That policy covers all your liabilities except for coverage for business risks associated with economic loss due to flaws in the insured’s work or product, an exclusion that may not be covered under a more specific policy because Insurer B may not know about Insurer A’s exclusion. 

And are you covered for pollution claims that are a result of a fire? Furthermore, does that same general liability policy cover acts of sexual harassment or assault? Most likely not, but does your broker or insurer know enough about you to recommend a separate professional liability policy? Read more…