Condo Association Insurance Programs > Excess Liability Insurance
As we have seen in the past several weeks, large-scale natural disasters can strike at any time and lead to catastrophic destruction of property. CoStar’s analysis of flood maps has estimated that as much as 27 percent of commercial real estate in Houston has been affected by flooding from the hurricane; more specifically, 12,000 potentially affected properties consisting of 167,281 apartments, 11 hospitals, 73 million square feet of retail property, and 60 million square feet of office space, with a combined value of $55 billion. A great deal of coastal property is still affected, including many condominiums. In situations like this, many residents of condos are looking towards their condominium association to help them, and depending on the situation some may bring lawsuits against the association. While every association ideally already has General Liability coverage, suits and claims brought up as a result of disastrous situations are often far costlier and can lead to significant losses, which is why condo associations should have a Commercial Excess Liability policy to cover fees outside the policy limit.
Our Program
When providing Excess coverage to condo associations, we consider the following issues:
- Proper liability limit amounts
- The association’s individual exposures
- What its existing policy covers
Our policy will extend coverage for most Directors & Officers policies and EPLI exposures that fall under the D&O policy as well as General Liability and other primary, underlying policies. The size of the building is also not an excluding factor; we will provide coverage for high-rise associations and buildings up to 35 stories, with higher buildings eligible by referral.
Excess Coverage for Condominium Associations
In addition to large-scale disasters, there are many D&O exposures that condo associations are privy to. For example, because association members are responsible for serving their organization and residents, they could fall victim to claims of “wrongful acts”, negligence (particularly in response to large-scale disasters, as residents could feel that their association did not adequately prepare them), discrimination, harassment, wrongful discharge, and other allegations of mismanagement. As these are only covered by a D&O policy and D&O policies do not cover injury and property damage, it is important to have General Liability coverage as well, and to supplant these policies with an Excess policy.
About Kevin Davis Insurance Services
For over 35 years, Kevin Davis Insurance Services has built an impressive reputation as a strong wholesale broker offering insurance products for the community association industry. Our President Kevin Davis and his team take pride in offering committed services to the community association market and providing them with unparalleled access to high-quality coverage, competitive premiums, superior markets, and detailed customer service. To learn more about the coverage we offer, contact us toll-free at (877) 807-8708 to speak with one of our representatives.