This week's tip is taken from a new article on avoiding HOA

insurance mistakes.

Some states, like Florida, require associations to have certain

levels of coverage. If you're in a state that has coverage

minimums, ask your agent to certify in writing that your

association meets the legal minimums.

"Make sure your agent provides you with a letter stating that

the insurance provided meets the requirements of your governing

documents and the law," recommends Bob L. Tankel, principal at

Robert L. Tankel P.A. in Dunedin, Fla., a law firm that

specializes in advising associations.

"That doesn't make me popular with my insurance agent friends,

but there's case law in Florida in which an insurance agent was

found liable when he recommended a certain level of coverage, a

loss occurred, and the insured was underinsured. Laws governing

corporations say that boards are entitled to rely on people they

believe are experts, so that's a good defensive practice."

For more on protecting your condo or homeowners association from

insurance missteps see our new article. (Go there now »)

Best regards,

Matt Humphrey

President