Author Topic: HOA Insurance  (Read 1648 times)

dgberger

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HOA Insurance
« on: October 11, 2015, 09:08:27 PM »
I am a treasurer of a small HOA for a 3-unit condominium building.  I'm interested in exploring ways to reduce the HOA's insurance cost - this is the HOA's highest annual expense.  Does anyone have any recommendations for HOA insurance providers?  The building is in good condition and there have never been any claims filed. 


jinga nation

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Re: HOA Insurance
« Reply #1 on: October 26, 2015, 12:08:54 PM »
I am a treasurer of a small HOA for a 3-unit condominium building.  I'm interested in exploring ways to reduce the HOA's insurance cost - this is the HOA's highest annual expense.  Does anyone have any recommendations for HOA insurance providers?  The building is in good condition and there have never been any claims filed.

When I joined a condo HOA board, they were paying the same company every year, 10% annual increase. I convinced the board to start getting minimum 3 quotes for every expense (except for petty cash expenses). When renewal was coming up, we asked the insurance companies to send a rep to our monthly meeting and present their quote and field questions from owners. It went great, and now the insurance rates have been stable or reducing since 2011. You have to tell the insurance company that there are multiple bidders, onus is on them. Also look at provider ratings, who is the re-insurer.

MaxRules

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Re: HOA Insurance
« Reply #2 on: November 08, 2015, 06:28:21 PM »
Does anyone know if there is any personal liability for being the member of a board? Should the association have insurance coverage for the members?

SwordGuy

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Re: HOA Insurance
« Reply #3 on: November 08, 2015, 08:37:09 PM »
If I was on the board, I would sure as heck vote for insurance for officers. 

MaxRules

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Re: HOA Insurance
« Reply #4 on: November 10, 2015, 10:00:48 AM »
Thanks for the reply SwordGuy. I have read that it is common for a board to have insurance for the members, although actual claims appear rare. I've been on the local rural fire dept board for almost two years. I do very little there. I joined an HOA board where I own a rental house as it seemed like a good way to help the subdivision. It's a shame a volunteer helping the community should need to consider things like liability. If I resigned for that reason, I'm not sure why anyone else would want to volunteer for the board?

jinga nation

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Re: HOA Insurance
« Reply #5 on: November 10, 2015, 12:11:26 PM »
When I was on a condo HOA board, officers were insured.