Flooding as a result of Hurricanes Matthew, Harvey, Irma and Maria have adversely affected many condominiums causing the unit owners and associations to review insurance policies and by-laws to guide them in the recovery process. In typical scenarios, the most desirable locations for condominium living are along water bodies designated as Special Flood Hazard Areas (SFHAs). Therefore, the majority of the common elements or areas are on the ground and first floor, putting them at the highest risk of flooding. For many years, only the lower unit owners purchased flood insurance through National Flood Insurance Program (NFIP) since the consensus was that only those units would be at risk.
Continue Reading Complexities in Condo Coverage: RCBAP Overlap or Gap Coverage?