Risk Avoidance Reducing Your Condominium's Liabilties

Insurance is a hassle and an expensive necessity for any condominium. A great way to bring costs down and to keep them down is to reduce liability. Many things that can help with insurance costs are along the lines of common sense, and keeping a few basic things in mind, and in repair, can make a lasting difference in the cost of coverage for an entire building or community.

Watch Your Exposures

The first step may be simpler than you think. Without hiring anyone from an outside source, any homeowner’s association can request a questionnaire from their insurance company that goes over common risks and exposures at the property. By filling out the questionnaire, a community association can quickly get a rough sketch of problem areas.

Even better, most insurance companies will arrange a site visit by a risk assessment officer to the property, says Chris Wilson, president of C.V. Mason & Company in Waterbury, Connecticut.

“I think the best bet is to contact your insurance agent and have a loss control engineer make an evaluation,” he says. “You can also go out and hire an engineer, but for the most part, most insurance companies will provide that service to you free of charge.”

Wilson says his agency lines up risk assessments for its condominiums all the time. “We would call the insurance company’s loss control departments and say, ‘ABC condo wants to have an evaluation. Can you please send out a loss control engineer and work with their board?’”


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  • I live in a condo community that is like a townhome in that it has 12 separate buildings with 4 units to a building. When we have roof repairs that the association pays for does that mean the association is also libel for inside damage to the ceiling?
  • Sue Shamie, No. The condo association is responsible for the exterior and structure and they will have an insurance policy for that. But you are responsible for the interior walls and everything inside. For that you should have a separate condo owner's policy that covers your risk.
  • Disagree with tndal. Think association would be responsible because ceiling damage was caused by association failure to maintain the roof.