Please read below for another great article by CAI’s Dawn Bauman, CAE — recently named to be CAI’s next CEO. We work with clients in the habitational market space everyday and know all too well how tough this market is to to find and place coverage that meets the needs of all parties involved. Below is a snippet of the article, and you can read the full article HERE.
Navigating Insurance Pressures in Today’s Condo Market
Rising property insurance costs continue to present challenges for community associations across the country. New data from the Foundation for Community Association Research underscores what many homeowners, boards, and community managers are experiencing: higher premiums, fewer coverage options, and more complex compliance requirements, especially in the condominium housing market.
According to the Foundation’s recent Insurance Coverage Trends Snap Survey report:
- 91% of community associations experienced increases in insurance premiums.
- 17% saw increases exceeding 100%.
- 23% shifted to surplus lines carriers due to lack of traditional options.
- 20% reported losing access to one or more insurance carriers.
- Many reported rising deductibles, decreased limits, and limited market availability in disaster-prone states.
While these trends vary by region and property type, they are clearly placing new financial pressures on boards and homeowners especially when combined with responsibilities for maintaining infrastructure, funding reserves, and meeting lending compliance standards.
For the entire article, please click HERE.
