Let’s Protect Your COA & Community

COA Condominium Association Insurance

COA Condominium Association insurance is a must for any COA board of directors to protect not only their property, but the board members themselves. There several types of insurance policies COAs will need to consider to properly safeguard their communities.

There are several basic insurance coverages we recommend to condo associations.

General Liability

General liability for condominium associations provides financial protection from potential lawsuits. A general liability policy covers legal costs if your association is sued because of bodily injury, property damage, or libel and slander.

Bodily injury covers medical costs and loss of income for anyone injured in common areas of the condo complex. Pools and fitness centers are typical locations condo associations are at risk of bodily injury claims. 

Property damage covers the cost to repair or replace damaged property and loss of use. Suppose a vendor or contractor claims their property or tools are damaged at your complex. In that case, general liability helps cover those costs.

Personal and advertising injury or libel and slander covers costs if your association is sued for libel or slander. Libel and slander lawsuits are much more common due to the widespread use of social media.

You can learn more about commercial general liability insurance here.

Directors & Officers Liability

Any company or association with a board of directors needs directors & officers (D&O) liability insurance. D&O coverage protects board members so they can serve their community without fear of personal financial loss if a lawsuit is brought against the association. It fills gaps that general liability and commercial umbrella insurance don’t cover in protecting board members. D&O insurance can protect personal assets from claims of financial mismanagement, employee practices claims, lawsuits from contractors, vendors, and more.

Commercial Property

Commercial property insurance for condominium associations covers shared property that the association owns, such as common areas and structures. COAs commonly purchase property coverage referred to as bare walls coverage. It protects the structure of a condo complex up to the interior drywall of individual condo units. This includes the exterior, framing, roofing, piping, wiring, insulation, and drywall. The condo owner’s personal insurance covers everything inside the drywall. Commercial property coverage also protects communal areas like pools, stairs, elevators, and fitness centers.

You can learn more about commercial property insurance here.

Commercial Umbrella

Commercial umbrella or excess liability insurance covers losses and lawsuits that exceed your primary insurance coverage. It is a separate policy over and above general liability intended to protect the COA against gaps in coverage.

You can learn more about commercial umbrella insurance here.

Workers Compensation

A condominium association might assume it doesn’t need a workers compensation insurance policy if it doesn’t directly employ any workers. However, most COAs work with vendors and contractors to maintain common areas of their property. The COA could be sued if a vendor employee is injured while on condo property. This can happen if the injured worker’s employer doesn’t have adequate workers comp insurance or their policy has lapsed.

You can learn more about workers compensation insurance here.

Hurricanes, Wind, & Floods

Mississippi is prone to all kinds of adverse weather along the coast and far inland. Property and liability are covered from many perils by your commercial property and liability insurance policies. Still, those policies often exclude wind, hail, tornado, and flood damage brought on by a hurricane. COAs near coastal areas should consider separate wind and flood policies to protect their communities. Even condo complexes further inland should consider these coverages. Separate wind and flood policies are vital to safeguarding condo association assets and communities.