24 Feb Condominium HOA Earthquake Insurance
Condominium HOA Earthquake Insurance
The standard CAlifornia Homeowner or Building Insurance policy does not cover damage caused by earthquakes. If you live in a community that has an HOA Master policy to cover the building, whether it’s studs-out or full replacement, you may not have coverage for earthquake. Typically only condominium communities have these policies, but they are sometimes used by other HOAs as well.
I am a unit owner in a community with a HOA Policy, how can I protect my unit?
You should still obtain a HO-6 Homeowner’s policy to protect your unit and personal belongings. If your HOA does not provide a master earthquake policy, you can also get earthquake insurance for your unit. The prices vary depending on location and deductibles.
I am a board member for our HOA, how can we protect our community?
Most HOAs have CC&Rs that state a master policy will be maintained by the HOA to cover the structural part of the building, but the units are left to the individual owners to protect. Some will cover the entire building and only require the unit-owners to protect their personal property. However, this “Master Policy” is typically only a Building policy and does not cover for damage from earthquakes. You should get an earthquake master policy for the HOA as well, which will follow the same regulations stated in the CC&Rs for what will be protected by the policy maintained by the HOA.
Our HOA had a master earthquake policy with another carrier, but they are “non-renewing” us. What can we do?!
This is happening a lot with carriers, like State Farm, who have a lot of properties insured in the State. They have picked up too much risk, and they are trying to thin out their books, or are moving out of the riskier areas.
However, we have a solution! As a broker we work with a number of carriers, so we can find a home for your earthquake policy. Just give us a call and we can get you set up with a new policy. You can also use the form to the right to request a quote, and an agent will be in touch.