Old Forge Crossing owners need to check their insurance policies
Any home owner living in a development that has a condo or home owners association can be affected by changes made by the association. It is easy to leave yourself liable by missing making a change to your insurance policy because a change by the association is mentioned but not instigated right away.
Old Forge Crossing is looking at changing their insurance deductible limit in May and increasing it from $5,000 to $10,000 to reduce the insurance premium the association is paying. As a homeowner in Old Forge Crossing it is important to contact your insurance agent and make sure when this change does go into effect your own insurance is increased as well because your liability has increased. Those with tenants also want to make sure their tenants policies are high enough to cover the increased liability as well. The increase in premium is likely to be small, but you should check with your insurance agent to make sure what the premium increase is likely to be.
What has caused the association to make this move. The sewer system in the development is some 40 years old and any system suffers over time with build up in the pipes. Grease and food debris especially can affect the sewers and cause backups, flooding and damage. This damage when caused by a second floor unit increases maintenance costs as well as insurance costs. When there is an increase in claims, insurance costs rise because there is a greater risk that needs to be covered.
So, check with your tenants and your own insurance agent and possibly price around now to see if you can get better terms so you are ready in May when the association makes it's decision.
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