HOA/Condo Damage Disputes – Does The HOA’s Insurance Policy Cover Damage To My Unit

Just about every HOA CC&Rs we’ve ever reviewed has an “INSURANCE” section stating the policies the HOA must maintain and those it may choose to maintain.  The Insurance section of your CC&Rs will also typically specify (a) whether an owner is required to carry insurance; (b) the type of insurance an owner may obtain; and (c) the limitations/requirements of said owner in wall insurance.  All HOAs must carry a general liability policy insuring owners and their units against all claims for personal injury, and property damage arising out of a single occurrence arising solely by reason of their ownership interest in the Common Area.  The language may vary from HOA to HOA but the losses covered are described in a similar fashion “damage or loss incident to the use of common area usage and/or ownership.”

Thus, if common areas fail and damage your Unit, the HOA’s general liability policy should cover the cost to remediate and repair.  If your HOA is refusing to tender a claim to its carrier, or forcing you to cover the entire deductible, or demanding that you tender to your own in wall carrier, contact one of our HOA Dispute Attorneys in Los Angeles for a free case evaluation and consultation.  When dealing with your HOA, arm yourself with a clear understanding of your rights as an Owner.  Remember, a board member’s rights are no greater than your rights.