Are you looking for Loss Assessment Insurance?

We can help.  Call us for a review at 303-932-1700. We can help you determine the best condo insurance, townhome insurance,liability insurance for your HOA, or property insurance for your HOA. Below is some helpful information on how you can protect your condo or townhome with Loss Assessment Coverage.

LOSS ASSESSMENT COVERAGE AND YOUR HO 6 POLICY

 Attention Homeowners.  As you may have heard, many insurance companies have been raising wind/hail deductibles in Colorado as a means to keep premiums more stable.  Why is this happening?  Mother Nature and an increasing metropolitan and urban footprint.  The more hail and the more exposure results in a higher claims frequency and payout.  So what does the insurance company have to do?  Raise premiums or change coverages.  In many cases, changing coverage is the answer.   We are now experiencing renewals with companies like Travelers, Philadelphia, American Family and others that have a 2% or higher wind/hail deductible.  This is based off the total coverage of the facility or HOA.   What happens if you have a loss and the deductible is higher then what the property management has collected in fees?  You can be penalized with a loss assessment.  The average loss assessment Is between $4-$6,000.  How do you protect yourself and your pocket book?  It is recommended you consult with your agent about Loss Assessment coverage as a rider on your HO 6 condo/townhome policy.  This coverage is not that expensive and can be purchased in increments as high as $50,000.  It is recommended to consider $10k in coverage.  This coverage will allow your insurance company to pay for the loss assessment penalty as long as the loss is due to a covered peril like Wind and Hail or Fire and Vandalism.  In most cases in Colorado, it is hail.

Contact us for a Free Consultation

If you need coverage or want a free consultation, please call Rick Cline at All Access Insurance: 303-932-1700. This link below is a great article on loss assessment coverage and how it can be used at the time of loss. http://www.irmi.com/articles/expert-commentary/10-steps-to-a-well-designed-ho-6-policy