What is blanket replacement cost?
Allows an HOA to access the full total limit of the master policy for a claim, combining limits for all buildings.
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4294 Dahlberg Drive, Golden Valley, MN 55422
Archives FAQs
What is the difference between Guaranteed, Extended, and Standard Replacement Cost?
Guaranteed pays full cost, Extended pays limit plus a percentage (e.g., 125%), and Standard stops at the policy limit.
Do we need Cyber coverage?
Yes, to cover financial losses from data breaches and cyber attacks on sensitive homeowner data.
How do we know if our crime limits are sufficient / what should our crime limit be?
Limits should meet federal lending guidelines (FHA/Fannie Mae), typically three months of assessments plus all reserve funds.
Why do you need crime/fidelity coverage?
Protects association funds from theft, embezzlement, or fraud and ensures compliance with lending guidelines.
What is medical payments?
“Med Pay” is a specific limit dedicated exclusively to paying medical bills for injuries, regardless of fault.
Why do they need work comp?
To cover volunteers, ensure medical bills are paid for injuries sustained while working for the association, and protect unit owners who volunteer.
Do we need Workers Compensation if we don’t have employees?
Yes, it is highly recommended to cover volunteers injured while working for the association and to fill gaps if a contractor’s coverage lapses.
What is Hired/Non-Owned Auto Liability?
This coverage protects the association if sued due to an auto accident involving hired or non-owned vehicles used for association business.
What does D&O cover?
D&O coverage protects the association against liability from decisions made by board members and property managers. It includes: Decision-Making Errors, Non-physical grievances (“Feelings Insurance”), Defense Costs (Outside Limit), Property Management Company inclusion, and Prior Acts Coverage.