Condo and Townhome Owners are in Danger of Huge Assessments this year unless you do this

The insurance industry has been flipped upside down recently due many storm claims over the past few years.

Because of this, many condo/townhome associations have MASSIVE insurance deductibles that need to be paid out of pocket (by each individual homeowner) when a claim goes through.

These deductibles range anywhere from 5-10% of the property value. When the HOA decides to make a claim for storm damage, the HOA ends up assessing the deductible to the homeowners.

That means if you own a condo that's worth $300,000 you would be looking at a $15,000 to $30,000 out of pocket expense, if your building makes a claim for a new roof. These huge deductibles are how insurance companies are making their money now at HOA's.

So, how do you avoid this?

Very simple, get what's called LOSS ASSESSMENT COVERAGE added to your HO6 policy.

Loss assessment coverage will pay for your insurance deductible when there is one.

If you currently own a condo/townhome, I highly recommend checking with your insurance agent to see if you have this coverage.

Any questions on this drop them in the comments below ??