Every condominium declaration contains specific language relating to insurance. What does yours say?
State statutes vary. In Washington State, common interest communities are required by law to carry certain types of property insurance that serves as primary in the event of a loss; however, the responsibility for paying the claim deductible is often an owner responsibility.
The Damage / Loss Flow Chart below is applicable to the general responsibilities outlined in multiple condominium governing documents, but keep in mind that your specific governing documents may have their own nuances. READ: How to Avoid Insurance Gaps
MULTI-FAMILY PROPERTY INSURANCE REMINDERS
>>> Does your association MONITOR and ENFORCE owners' insurance requirements? It's an often overlooked risk.
H06 "WALLS-IN" COVERAGE BREAKDOWN
EXAMPLE DAMAGE / LOSS FLOW CHART
KEY TERMS & COVERAGES
Business insurance is a general term that includes a gamut of different coverages.
General Liability insurance covers certain types of bodily injury and other liabilities. Many General Liability policies include $5,000 of no-fault liability coverage where the insurance carrier pays up to $5,000 without the need for litigation.
Workers' Compensation insurance often excludes volunteers. Five states (North Dakota, Ohio, Washington, West Virginia, and Wyoming) run their own programs for workers' comp coverage. Washington State Department of Labor & Industries (L&I) does not offer coverage for volunteers.
Many CICs do not realize that they possess little to no insurance coverage for bodily injuries incurred by their volunteers.
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