While owning a timeshare is a great way for many to vacation on a budget, they have their own specific insurance needs, many of which may not be covered under a typical homeowner’s insurance policy. Many timeshare owners will take out additional policies to cover those needs, but the association also needs to keep in mind these additional forms of coverage. Here at Kevin Davis Insurance Services, we understand the community association industry and offer specialized insurance solutions specifically for associations and management companies. In addition to the following types of coverage, we also offer crime and cyber liability insurance coverages for timeshare associations to protect the association and its tenants from the impacts of crimes and breaches to the property.
Directors & Officers Liability Insurance
When serving on the board of the association, it is important to make sure that directors of the community association are protected against claims of poor service. According to TimeSharing Today, one of the most common sources of D&O claims against timeshare associations is the selection and oversight of contractors to provide services on the timeshare’s behalf. Because of this, if the association chooses to hire a property manager or other type of manager, they should make sure that they extend their D&O coverage to him or her. Our Directors & Officers coverage will protect board members and their associates from a wide range of claims, and will also cover lawsuits and allegations, provide coverage for monetary and non-monetary claims, and protect independents working with the management company.
Commercial Excess Liability Insurance
As timeshares function primarily on vacation homes, it is likely that they are located in areas with a higher risk of disaster or damage. Whether it’s a coastal property in a hurricane-prone area or a cabin in an area that frequently sees heavy snowstorms, a timeshare could experience extensive unanticipated damage, and ordinary liability coverage likely will not cover the extent of the damage. Because of this, we offer Excess Liability coverage for community associations that will extend the coverage limit. We work with each association individually in order to design a coverage plan that takes into account the association’s exposures and existing policy limits.
Errors & Omissions Insurance
Our Directors & Officers policy, which we described above, will protect the association from issues arising from lawsuits filed against the association regarding negligent acts or omissions. However, if a manager acting on behalf of the association is faced with allegations of a wrongful act that causes financial harm to a client or resident, the D&O policy may not protect the manager. Our Errors & Omissions coverage covers wrongful acts anywhere in the world and includes duty to defend, full prior acts coverage, spousal extension, and more. The definition of insureds for this coverage includes the entity, directors, officers, board members, and employees (including part-time, seasonal, temporary, and leased).
Workers’ Compensation
The timeshare association likely has many employees working to ensure that the property is ready for all of its residents. But let’s say a timeshare management company has someone volunteer to work on behalf of the association, or even one of the timeshare’s residents. If they are to become injured while working on behalf of the association, the association would be liable. Kevin Davis Insurance Services’s Workers’ Compensation policy will cover all employees and volunteers working on behalf of the association through a 100% automated platform.
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.