When you opted to join your homeowners’ association’s board of directors, you never imagined that you’d be shopping for an insurance policy for the association. After all, most homeowners in your community have their own homeowners’ insurance policies, so why does the community association need one? There are several reasons, the biggest of which is that it can help protect the association as a whole and individual members from assuming financial liability and responsibility for losses of money, property and security. If you’re not sure how to even begin shopping for an HOA policy, start with selecting an insurer for HOAs near you.
The right insurer will offer several policies, each of which you can build to be as simple or as comprehensive as you need it to be. Every community’s needs and exposures are different, which is why it doesn’t make sense for insurance companies to offer a single package. The right agency will allow you to add on coverages such as Directors and Officers liability coverage, crime insurance, workers’ compensation and cyber liability insurance. It will also help you evaluate your risks and provide suggestions for which coverages you may benefit from and which may prove to be a waste of community dollars.
HOA insurance can be a great investment for your community, but it’s important that you do your research before signing on with any one agency. However, once you select the right insurer for HOAs, selecting the right coverage should be a breeze.