HOA INSURANCE - Condo Association
Coverage for Your HOA Community?
When you belong to a homeowners’ association (HOA), the HOA will manage maintaining and taking care of your community in exchange for a monthly fee from each homeowner. These fees go towards maintaining common areas such as parks, shared streets, or a community pool, and paying for insurance coverage. Every member of the HOA will pay an amount towards the insurance policy in accordance with your community’s governing documents.
What does it cover?
HOA Insurance may cover any community spaces and structures that are owned and managed by the HOA. HOA Insurance covers, at a minimum:
General Liability: Provides coverage to protect the HOA from liability in the case that someone is injured on the HOA’s property.
Property: Provides coverage to fix damage to common property owned by the HOA.
Other types of HOA Insurance coverage includes:
Workers Compensation: coverage for employees or volunteers, including board members of the HOA.
Directors & Officers: protects board members, HOA volunteers, and even the community’s property manager from being held liable for good faith decisions.
Fidelity and Crime: provides coverage in the case that the HOA falls victim to embezzlement or theft.
Earthquake & Flood protection
Umbrella: provides extra coverage for increasing costs related to liabilities.
Claim examples – How coverage works
Your neighbor’s guest slips and breaks their arm at the community pool. General liability coverage could cover the guest’s medical expenses and lost wages, or defend a lawsuit if the association was alleged to be negligent in relation to the slip & fall.
A fire burns down the play structure at the community park. Property coverage will pay to rebuild.
You are a homeowner within an HOA and discover that a former board member was embezzling thousands of dollars from the HOA’s reserves. Fidelity and crime coverage would protect your HOA from the damages this former board member caused.