Condominium owners make monthly payments toward the homeowners’ association. Depending on the features of the building, the dues that are paid to the homeowners’ association may cover a number of services. For example, they are pooled to purchase insurance for the condominium. The extent of the insurance coverage will vary based on the policy the homeowners’ association purchased. Some policies end at the walls of the units and leave individual owners responsible for purchasing insurance to cover the walls, fixtures and their belongings. Other policies that a homeowners’ association may consider include the walls and fixtures, letting unit owners secure lower insurance rates on their individual policies. The tradeoff, however, is that the homeowners’ association’s rates may be higher.

Additional Insurance Coverage for Homeowners’ Associations

In addition to policies that are designed to provide financial protection in the event of damage to the physical property, homeowners’ associations will also need to purchase liability coverage. The association may be held responsible for any bodily injuries that occur in common spaces, such as fitness centers, pools, meeting rooms and the lobby. The group may also need to purchase workers’ compensation insurance if it employs property managers or maintenance personnel.

Homeowners’ associations located in USA can work with us to compare rates for the insurance policies they need. While we specialize in policies for homeowners’ associations, we can also work with our clients to find workers’ compensation, health, life, auto and commercial insurance policies.