USI
Overview
Who is USI?
How are you unique?
What exactly
is risk management?
Community Association
Insurance Program Overview
What is the Community
Association Insurance Program?
What benefits do you offer
my community association?
What coverages do you
offer?
What forms are available online?
Certificate of Insurance
Request Form
Unit Owners Information
How do I report a
new claim?
How long will it take
to process my claim?
What should
I do if I need a Certificate of Insurance?
What kind of insurance
do residents of community asscdir need?
Managers
Information
How do I report
a new claim?
How long will it take to
process my claim?
What should I do after
a loss?
If an employee damages his
own vehicle while on community association business,
will our association insurance pay for damages?
Is it okay to serve liquor
at a community association party?
General Information
What does the
master policy cover?
What does my community
association master policy cover?
What does the
master policy not cover?
What types
of property insurance are available?
Who should pay the
deductible?
USI Overview
Who is USI?
USI is a full service risk management
and insurance firm. Our professional insurance advisors
provide leading-edge insurance products, technologies,
and risk management systems that are designed to control
client costs and protect client assets. USI partner
firms deliver fully integrated services, programs,
and consulting for insurance and insurance-related
financial services. This makes us a single resource—you
no longer need to work with multiple providers to
obtain the full range of services you need to protect
and grow your assets.
How
are you unique?
Our focus on risk management helps community
asscdir develop ways to significantly reduce
traditional insurance costs. Our experienced staff
knows the community association industry inside and
out, so we can create insurance and risk management
packages tailored to your particular needs.
What
exactly is risk management?
Risk management is the systematic identification,
evaluation, and control of loss exposures that can
affect community asscdir. Effective risk management
can make community asscdir safer, reduce costs,
and decrease the number of claims.
Community
Association Insurance Program Overview
What
is the Community Association Insurance Program?
The Community Association Insurance Program
provides comprehensive insurance and employee benefits
packages for community asscdir. We help community
managers develop ways to significantly reduce traditional
insurance costs. The program services include 24-hour
claim service, regularly scheduled claims reports,
certificate management reports, coverage checklists,
and monthly publications on insurance issues and industry
information. In addition, the professionals in the
Community Association Division act as indispensable
advisors, providing timely advice on current insurance
trends, and present educational and risk management
seminars that address issues that impact the operational
costs of community asscdir.
What
benefits do you offer my community association?
- More time to focus
on your core business.
- Insurance and financial
services plans linked to each other in design, structure,
and administration.
- The value of a professional
business consultant who is part of your team.
- A locally-based, knowledgeable,
and accessible staff backed by resources of partners
nationwide.
- Complete coordination
of your program’s financial structure to assure
efficient, competitive, and consolidated cost management.
- A single resource
that provides support for your community association’s
changing needs: a full spectrum of insurance, risk
management, benefits consulting, and financial services.
What
coverages do you offer?
The Community Association Insurance Program
offers the following coverages:
- Property Insurance
Coverage
- Comprehensive General
Liability Coverage
- Director’s And
Officer’s (D&O) Liability Coverage
- Workers Compensation
Coverage
- Fidelity Bond (Employee
Dishonesty) Coverage
- Comprehensive Equipment
Coverage
- Umbrella Liability
Coverage
- Personal Insurance
Protection
- Health
- Pension Plans
- Voluntary Benefits
Unit Owners Information
How
do I report a new claim?
All claims related to the association
must be reported to your community, building, or property
manager promptly.
How
long will it take to process my claim?
All claims are generally processed within
24 hours after the claim has been reported to our
service center.
What
should I do if I need a Certificate of Insurance?
Should your mortgagee require a certificate
of insurance, you have two options.
1) Complete this Request
for Certificate of Insurance Form online.
2) Print this Request
for Certificate of Insurance Form, complete it,
and fax it to Linda Leonard at 703-739-0394.
This
form has been formatted as a "portable document
format" (pdf) file. You will need Adobe Acrobat
Version 3 or above. If you do not have Adobe Acrobat
Reader, please take a few moments to download it from
http://www.adobe.com/.
If your request has not been processed within 48
hours, please contact our Certificate Department at
condocerts.dc@usi.biz.
Any other
method of following-up will significantly delay your
request.
What
kind of insurance do residents of community asscdir
need?
Residents must be aware
of the type of insurance coverage in effect through
their community association. Regardless of the kind
of policy a community association has, owners and
tenants should purchase a personal policy to fully
protect their interests.
Resident owners
should consider an individual homeowners policy (HO–6).
This policy can provide coverage for personal property,
unit improvements, betterments, additions and alterations,
additional living expenses, and personal liability.
Non-resident owners may not need coverage for
personal property or additional living expenses; however,
they do have all of the other insurable exposures
of a resident owner. Additionally, non-resident owners
can be insured for loss of rental income. Renters
should purchase an HO–4 policy to provide coverage
for personal property, additional living expenses,
and personal liability.
Coverage can be arranged
under some HO–6 policies to pay for damages
to a unit over the personal policy deductible, usually
$250 or $500, up to the master policy deductible.
Unit owners should check with their HO–6 policy
agent or the company to determine if the deductible
difference is covered.
Whether the master insurance
policy is written on a bare wall, single entity, or
all in basis, personal property such as clothing and
furniture within individual units will not be covered.
Also, the master policy does not provide coverage
for personal liability or additional living expenses.
If you are interested in obtaining information or
a quote on personal homeowners insurance, please call
1-800-552-9919 and ask for the Personal Lines Sales
Department.
Managers Information
How
do I report a new claim?
All claims must be reported by the community or on-site
manager or a designated board member acting on behalf
of the association.
If your community association is insured with Travelers, you have two options:
- Contact our Service Center Claim Action Line,
which is open 24 hours a day, 7 days a week. The
phone number is 1-800-238-6225.
- Use our online Service Center web site at http://servicecenter.travelers.com.
All other community asscdir should download
one of the following forms, complete it, and fax it
to Kathy Crandall at 703-205-8732.
These forms have been
formatted as "portable document format" (pdf) files.
You will need Adobe Acrobat Version 3 or above. If
you do not have Adobe Acrobat Reader, please take
a few moments to download it from http://www.adobe.com/.
If you have any questions, please contact Kathy Crandall
(1-800-792-9800 or fax 610-537-2243 or Kathleen.Crandall@usi.biz).
For workers compensation claims, immediately report
the claim to the appropriate carrier, using the links
on our Web Resources
page.
How
long will it take to process my claim?
An adjuster will contact
you within 24 hours after your claim has been reported.
What
should I do after a loss?
- Do not make any promises
on behalf of the insurance company.
- Inform the unit owner
of the deductible amount and suggest the claim be
reported to his insurer.
- Call police if it
appears a crime has been committed.
- Offer first aid or
call an ambulance if someone is injured.
- Determine what caused
the injury. If possible, have the injured explain
and show what happened. Obtain information on witnesses.
- Take photographs of
the area or item that caused injury.
- Assure the injured
that someone will be in touch with him regarding
the accident.
If
an employee damages his own vehicle while on community
association business, will our association insurance
pay for damages?
It is generally understood
that if an association employee is negligent in the
performance of his job duties, the association can
be held vicariously liable for the negligent act.
For example, if an association on-site manager used
his personal vehicle to travel to an association meeting,
and in the course of the ride, runs a red light and
injures a pedestrian, who will pay for any subsequent
claims? Should the pedestrian file a lawsuit, he might
also include the association as a defendant, because
the accident happened while the manager was on association
business. Subject to the policy limits, "non-owned
auto liability" coverage will indemnify and defend
the association against the pedestrian’s claim.
Non-owned auto liability
coverage will not necessarily provide the employee
with any liability coverage for bodily injury or property
damage claims. Nor is physical damage for the employee’s
car part of the coverage. The employee would need
to look at his personal insurance company for liability
protection and repair costs for the vehicle, even
if the accident occurred while on association business.
It is possible to procure
an endorsement that lists employees as insureds and
that will then "insure the employee for liability
coverage while he is using any covered auto not owned,
hired, or borrowed by the named insured on the name
insured’s business or personal affairs." Such
coverage would apply in excess of whatever personal
liability insurance the employee might have.
Is
it okay to serve liquor at a community association
party?
Generally, community
asscdir are protected by host liquor liability
insurance coverage. Subject to the terms of the policy,
this coverage will indemnify and defend the association
against third party liability claims arising out of
the serving of alcoholic beverages. However, this
coverage will not protect the association if the alcoholic
beverages are sold. If alcoholic beverages are to
be sold by the association either directly or indirectly,
which we strongly discourage from an insurance risk
management standpoint, liquor liability insurance
coverage will need to be purchased.
General Information
What
does the master policy cover?
The master policy is
designed to protect owners against liability claims
arising out of membership in the association. For
instance, if somebody slips and falls in a common
area, the master policy will indemnify and defend
all owners against a liability claim for bodily injury
that might result.
If anybody slips and
falls or otherwise sustains bodily injury within an
individual unit, the master policy will not apply.
Should a resident inadvertently leave the water running
in his kitchen sink, allowing water to overflow, the
master policy will not protect him against the claim
from the resident in the unit below for damage to
his personal property or the expensive wallpaper he
installed.
What
does my community association master policy cover?
To find out what your
particular community association master policy covers,
please contact our Service Center at 1-888-661-3938.
What
does the master policy not cover?
The Master Policy does not provide coverage
for losses to unit owners' personal property, personal
liability, or additional living expenses. If
anybody slips and falls or otherwise sustains bodily
injury within an individual unit, the master policy
will not apply. Should a resident inadvertently leave
the water running in his kitchen sink, allowing water
to overflow, the master policy will not protect him
against the claim from the resident in the unit below
for damage to his personal property or the expensive
wallpaper he installed.
A community association
must provide insurance coverage against typical hazards
and perils that might affect an individual owner of
a residence, but this coverage does not usually extend
to personal property or personal liability.
What
types of property insurance are available?
Community association property insurance is written
under at least three concepts: bare walls, single
entity, and all in. It is up to the board of directors
of a community association, with the assistance of
a qualified insurance advisor, to purchase insurance
that conforms and complies with all recorded association
documents and statutory insurance requirements.
The most limited form of master policy insurance
is called bare walls coverage. This means that general
and limited common areas are covered-up to the bare
perimeter walls, floors, and ceilings of individual
units. What is not covered are all items within the
interior of these walls, which include fixtures, appliances,
interior partitions, wall coverings, floor coverings,
cabinetry, and in multi-story units, even the floors,
stairs, and ceilings between the lowest floor and
highest ceiling.
The most common type of master property insurance
purchased by community asscdir is single entity
coverage, which like bare walls coverage insures the
general and limited common elements. However, this
coverage also extends within individual units to fixtures,
appliances, walls, floor coverings, and cabinetry,
but only for like, kind, and quality to that conveyed
by the developer to the original owner.
In other words, building coverage under the master
policy in this type of policy is limited to the original
plans and specifications. Any individual unit improvements
made subsequent to the original conveyance, such as
building a wall to divide a room, or upgrading carpeting
or other floor coverings, wall treatments, appliances,
cabinetry, etc., are not covered by the master policy.
These improvements are the responsibility of the unit
owner to insure.
A less common type of coverage is called all in because
it not only provides for general and limited common
areas and individual units, it also covers additions,
alterations, improvements, and betterments made at
the unit owner's expense.
Who
should pay the deductible?
It is important for the community association to
determine who is responsible for paying the deductible.
For instance, if a fire starts in a unit, who pays:
the association or the property owner? The question
of who pays the deductible can be answered in at least
five ways:
- The property owner who suffers the damage incurs
the cost of the master policy deductible.
- If a negligent party causes the damage, the negligent
party incurs the deductible cost.
- If the association must pay the deductible, it
may be paid out of the operating account or an operating
reserve account if the association has one set up.
- The association will make a special assessment
for all master policy deductible claims on an annual
basis.
- The owner of the unit from which the cause of
loss originates pays the deductible. If the cause
of loss originates from the common elements, the
association pays the deductible.
It is important to note that responsibility for the
master policy deductible might be dictated by the
association's bylaws or state statute in some cases. |