Community associations are typically required to maintain some level of insurance to protect the association, its members, and shared assets from the risk of financial loss. These requirements are shaped by governing documents, laws and regulations, lender requirements, and best practice. One of the most common — and consequential — questions in community associations is about how insurance responsibilities are divided. Who covers what?
Four years ago, the tragic partial collapse of Champlain Towers South in Surfside, Fla., took 98 lives. The devastating event highlighted the critical need for proactive building maintenance, structural inspections, and financial preparedness to ensure condo safety. Over the past few years, CAI has educated community association residents, board members, community managers, business partners, legislators, and regulators about structurally sound and fiscally responsible communities.
In the past decade, the advancement of digital tools, smart devices, and enhanced connectivity has strongly altered community associations. From template-driven management to enhanced experiences, tech transformations have revolutionized community associations and will continue to shape the industry’s path.
Artificial intelligence remains an elusive concept to many, including those in community associations. The technology poses many perceived benefits and risks, but undoubtedly will have a long-term, powerful impact. Demystifying those benefits and risks, and establishing an AI policy, can help prepare your community for the future.
Over the past year, most of the country has felt the effects of a hardened insurance market. Community associations are seeing fewer insurance options, experiencing more scrutiny regarding what insurance companies will write, and getting forced to find coverage more often in the surplus lines market. As community associations look at their insurance premiums and consider renewal, experts recommend seven steps for finding the best coverage.
