Unitholders should always carry sufficiently below their HO-6 coverage limit to cover the highest deductible of the control policy. This limits the association`s fees for paying the deductible for a loss with one of the units and limits the expenses of the unit owner out of pocket. The unit owner should also provide the confirmation “HO 04 35 – Loss Assessment Coverage.” This approval (usually up to $50,000 for boundaries) protects the unit owner from a loss assessed by all unit owners, such as damage to a common area, by a hazard covered by HO-6 (such as fire). Finally, the owner of the device must be marked “HO 17 32 – Coverage A Special Form.” This approval expands the types of risks covered by the ho-6 policy. In “special form,” the ho-6 policy covers all dangers except those expressly excluded from the policy. In the absence of this approval, HO-6 only covers the risks listed in the directive. Unit owners should check with their insurance agent to see if their policy contains the confirmation “HO 17 34 – Unit Owner`s Modified Other Insurance – Service Agreement Condition.” Some companies use a basic directive that automatically includes this coverage, but companies that use newer forms can add this help to ensure that there is no problem with HO-6, which pays the basic policy fees in a deductible manner. Many condominium master policies now use a franchise per unit to transfer the risk of the control policy to the HO-6 directive or “unit owner. Condo owners should be informed of the type of HO-6 policy they should wear in order to properly minimize their exposure from their pocket.
The documents of the condominium or “property documents” expose the responsibility of the association and the owners of the unit in case of loss. In accordance with your agreement, the association is responsible for all common elements of the building and the entire unit, including any improvements or improvements made by the owners. For more information about Condo Insurance or any questions about your condo coverage, please contact your McSweeney-Ricci account manager.