Insurance agent relationships between property managers and association boards are important. Insurance agents are required to obtain the best coverage at the best price. The problem is when different insurance agents, competing for business, start telling property managers and association boards different things about the insurance in place and comparing insurance coverages.
Property managers and condominium leaders will face an issue after Hurricane Matthew becoming all too recurrent following catastrophes—slow and underpaying property insurance carriers. While partial payments for small percentage amounts of easily agreed to damages are often made, full payment made within 90 to 120 days is almost non-existent with significant losses. Who can wait for that long to start substantial repairs?
The fun and games that insurers put us and their policyholders through to not pay claims never ceases and gets more creative all the time. Attorney Ashley Harris told me that one of our condominium clients from Superstorm Sandy had a request from its insurer that the wind damaged roofs needed an inspection at 3:30 a.m. We agreed with the request but what happened was unusual—even more unusual than a 3:30 a.m. inspection.