Page 8 - New England Condominium June 2022

8 NEW ENGLAND CONDOMINIUM -JUNE 2022 NEWENGLANDCONDO.COM Greater Boston’s Full Service Condominium & Property Management Firm 617-202-3815 admin@yifmanagement.com www.yifmanagement.com | • Competitive Customized Rates! 100% Transparency! • • No Unnecessary Fees! Guaranteed Communication! • Building EnvelopeYour Restoration Specialists Since 1981, Alpha Weatherproofing Corp. has served building owners and property managers throughout New England with comprehensive weatherproofing and building envelope restoration services. AFTER BEFORE • Concrete Restoration • Façade Inspection & Repair Specialty Coatings • Masonry Restoration • Sealant Removal & Replacement • Parking Garage Repair & Traffic Coatings • Historic Restoration • • Waterproofing Systems • Roofing & Roof Maintenance • Structural Repairs • Emergency Repairs 617-628-8888 www.weatherproofing.net • Request a free consultation • View projects • Sign up for our e-newsletter wildfires. Building vs. Unit Of course, the lynchpin question about any insurance policy is, ‘What does it cov- er?’ In a condominium or co-op, the build- ing’s insurance covers the common areas and limited common areas, and to some extent—depending on the policy—certain structural components of your unit. Most owners (and renters, too, if they’re smart) carry their own individual policy to cover the contents of their apartment itself. Ryan Fleming, an insurance profes- sional with JGS Insurance based in Hol- mdel, New Jersey clarifies further: “There are basically three options for what’s cov- ered: bare-walls, single-entity, and all-in coverage. Bare walls property coverage is provided for all common and limited common elements—coverage extends up to the unfinished interior surfaces. Sin- gle-entity property coverage is provided for all common and limited common ele- ments, as well as the units as defined in the building’s master deed and bylaws. Cover- age extends to what can be considered an original base model unit, or how the unit was sold at its original conveyance, de- pending on the wording of the governing document.” Fleming continues, “All-in coverage ex- ists for all parts of the building structure, including any upgrades, betterments, im- provements, etc. within the units. Your coverage vis-à-vis the building, associa- tion, or corporation depends on what kind of coverage the property has.” In addition, homeowners often have insurance for their individual units, which generally also covers contents. Your indi- vidual insurance should cover items ex- cluded by any or all of the three types of policies described above. Filing a Claim Here is a general breakdown provided by Fleming outlining the steps for correct- ly filing a claim. Habitational Claims Steps 1. Ensure that all unit owners notify the property managers of a loss when it occurs 2. Notify the proper authority if nec- essary—fire department, water company, police department, etc. 3. Secure the building—whether it is a fire or water loss, it is important to secure the building to ensure no further damage occurs 4. Make any necessary temporary or emergency repairs, such as calling a reme- diation company to go in and dry out the unit, board up windows, set up temporary electric power, etc. 5. The association should report the claim to their carrier, and all affected unit owners need to report the claim to their own homeowners’ carrier Timeline for a Reported Building Claim 1. Claim is reported to agent 2. Claims representative will process a claim with the association’s carrier 3. Within two days an adjuster will con- tact the property manager to set up an in- spection 4. All communication will be with the property manager; the only communica- tion an adjuster will have with unit own- ers is to access the units for an inspec- tion. This is because in a building claim, the unit owners are not the insured—the building itself is 5. After the inspection takes place, the independent adjuster will complete esti- mates and compose a report 6. Within 30 days, depending on how extensive the loss is, the report will be completed and sent to the Community Association Underwriters (CAU) adjuster for review 7. A coverage determination is made by the CAU adjuster 8. If coverage is afforded, the estimate and check will be sent to the property manager 9. It is up to the property manager, along with the board, to either manage the repairs or disperse the funds to the af- fected units. As an owner or shareholder, make sure you are aware of the terms of your policy and those policies that cover your associa- tion or corporation. Knowing that infor- mation before a crisis hits can make get- ting through an already tough situation a little easier. n Cooper Smith is a frequent contributor to New England Condominium. LOSS, INSURANCE... continued from page 6 they can and can’t park.” Money is another source of possible misunderstanding. “A lot of first-time own- ers lack understanding and knowledge about what monthly assessments—also known as common charges or mainte- nance—are for, and what they cover,” says Eric Staszczak, executive vice president for property management with Westward360, a Chicago-based management firm. Rita Sprudzs, a senior property manager also with Westward360, outlines another common problem: “Many times, co-op shareholders don’t understand that they don’t actually own the space they occupy. They are shareholders in a corporation that owns the property. They have a proprietary lease for their unit that is assigned to them by the corporation that owns the building.” This misapprehension can lead to a great deal of frustration and acrimony when a shareholder’s plans to alter or upgrade their unit butts up against the board’s author- ity—and duty—to review and approve (or reject) those plans based on how they may ORIENTING... continued from page 1