If you’re a member of your HOA Board, you already know that it takes a lot of hard work and staying on top of things to keep the association running smoothly. It’s scary when you think about the disasters that could undo all your hard work in the blink of an eye. In today’s business environment, many insurance companies have discontinued or changed coverage while raising premiums. That’s why it’s necessary to make sure your HOA insurance coverage is all that it should be before you need it. This year, dare to compare your insurance costs and coverage.
There are a few “musts” when you dare to compare insurance coverage.
Homeowner association insurance is intended to cover the common elements in the community as well as liability claims. HOAs need the insurance, but it’s a competitive industry. As insurance premiums have escalated in recent years, you owe it to your HOA to shop around. Don’t be afraid to ask for alternative options with your current carrier. Many times, your current agent will help you find ways to reduce the premium to keep your business.
Richard Thompson from Realty Times talks about directing claims to members’ insurance in a recent blog. If you are insuring areas that homeowners’ insurance typically covers, this is a potential area to reduce insurance coverage.
Your deductible may be costing you more than you think. Years ago, everyone went with the lowest possible deductible and many of us have stayed the course without realizing that a higher deductible could save us a lot of money. Make an educated decision on what’s best for your community by comparing different coverages, premiums, and deductibles. If your HOA can afford it, a higher deductible may save you money.
Wise Property Solutions is a property management company serving East Tennessee with offices in Knoxville, TN and the Tri-Cities, TN-VA. Specializing in Condominium Association Management, Home Owners Association Management, HOA Management and Gated Community Association Management.
Tri-Cities, TN-VA: 423-926-7373
Knoxville, TN: 865-643-8989