Homeowners Association Insurance Claims

Have you or your condominium or homeowner association filed a claim for damage with an insurance company? Is it stalling? Giving you the runaround? Has it denied the claim?

The first issue we will inquire into is the policy – what does it say? How are its terms normally interpreted in court?

If one thinks about it, and insurers always do, the insurers have condominium and homeowner associations at their mercy in cases involving large wind, water or hail damage claims. Insurers are institutionally inclined to use their unequal bargaining position to minimize pay payments or deny claims. Predictably, a homeowner association may not receive full compensation for losses, or the insurer may flatly deny the claim.

Homeowner associations are vulnerable to having their insurers deny insurance claims or offer compensation that is far below what the insurer owes. There are a number of factors at play:

  • Residents simply want to get back to living in their homes as soon as possible
  • Insurers offer adjusters financial incentives to minimize the compensation offered in large property losses.
  • Unrealistically low or biased estimates by contractors are accepted on face value by the adjuster.
  • Inappropriate relationships between the insurers and contractor may exist.
  • The insurer may intentionally misrepresent replacement cost estimates or other information to deny a claim or reduce what it offers.
  • Homeowner association board members are volunteers, who may not have the time or resources needed to evaluate a settlement offer or research the cost of repairs.

Contact our firm for a free consultation about your case