|Why Should you be Scared?|
Why should you be afraid of Special Assessments? We have that covered!
You can indeed get coverage for Special Assessments in a Condominium
1) You are covered; If through the Title Insurance it was OMITTED from the Status Certificate
2) You are covered; Through your Home Insurance Coverage
II. SPECIAL ASSESSMENT INSURANCE
A unit owner can also obtain insurance coverage specifically for special assessments. This coverage will benefit a unit owner in circumstances where a condominium corporation suffers an insured loss, the insurance proceeds are inadequate to cover the costs, and the corporation levies a special assessment for the difference. This would only occur in very unusual circumstances.
A real life example involves a condominium corporation that incurred environmental clean-up costs because of a heating oil leak into the common elements. The town home units in this condominium had oil tanks that were buried in the common elements, which serviced each individual unit’s furnace. Pipes ran through the concrete basement floors of the units from the heaters to the oil tanks. As a result of a pipe break, oil seeped into the ground and the resulting environmental clean-up cost was over $300,000.
- See more at: http://www.condoreporter.com/special-assessments-insure-your-risk/#sthash.AJsAjsce.dpuf
Coverage Chart – Condominium
|Unit Improvements and Betterments
Unit Additional Protection
Common Elements Loss Assessment
$500,000 Single Limit
Limit is per occurrence for any one or combination of these coverages
$1 million condominium protection available
|Building Fixtures and Fittings||
10% of single limit