Our buildings are insured by our association; while the contents of our units are covered by policies we purchase as Co-owners. As insurance goes, avoidable claims generally increase our premium for the Association policy. Therefore, our agent has provided the following articles to help us be proactive and prevent as many losses as possible.
Harbour Towne Association Policy Coverage
The following is an outline of coverages within the Harbour Towne Association master insurance policy. This information was provided by our insurance agent in this Insurance Letter and Certificate of Liability Insurance
- Guaranteed replacement cost on buildings and structures
- All covered property claims are subject to a $2,500 deductible
- Permanently installed fixtures including outdoor fixtures
- Back up of sewer and drains for all buildings and structures, $250,000 per building
- Floor, wall, trim, and ceiling coverings
- Appliances used for heating, refrigerating, ventilating, cooling systems, cooking, dishwashing, laundering, security systems, or housekeeping (does not cover the repair or maintenance of these items or damages caused by lack of maintenance, replacement or repair by the unit owner)
- Improvements, betterments, additions, or alterations (upgrades made to the interior or exterior of a unit by the unit owner)
“improvements, betterments, additions, or alterations” significantly expands coverage for Co-owner upgrades such as kitchen cabinets, wood floors, etc. Co-owners may be able to lower the premium on their personal insurance by contacting their agent and adjusting the policy accordingly.
Co-owner’s Individual Responsibility- HO-6 Policy
Unit owners are responsible to cover their own Personal Liability and Personal Property (contents such as electronics, furniture, clothing, jewelry, etc.). Additional suggestions for coverage to include in the unit owner/HO-6 policy:
It is still advised that each co-owner maintain a unit owner’s policy (HO-6) which covers your personal property, coverage for third party lawsuits as a result of homeowner negligence (liability within a unit – for example, slip and falls), as well as alternative living expenses due to a covered loss. In addition, it is recommended that a broadening endorsement be attached to this policy that will provide coverage for glass breakage, sump pumps, and sewer and drain back up for damage to your personal property.
Since the master policy deductible may be the responsibility of an individual co-owner in the event of a covered claim, loss assessment coverage should be considered in an amount not less than the master policy property deductible of $2,500. This protects the owner for their share of any loss assessment made by the association on any property or liability loss which is not covered, or is inadequately covered by the master policy.
Association Insurance Contacts
If you or your personal insurance agent have any questions, please contact Coldbrook Insurance Group, Ryan Osborn at 616-301-6747, or Kathy Zago at 616-301-6733.