Homeowners Association (HOA) Insurance in Clearwater, FL
When you live in a community governed by a homeowners association, you benefit from shared amenities and common spaces, but those shared assets also come with shared responsibilities. One primary responsibility as an HOA board member is maintaining HOA insurance. Understanding how HOA insurance works can help ensure your community is protected and compliant.
What Does HOA Insurance Typically Cover?
HOA insurance, often referred to as a master policy, generally provides coverage for the structures and common areas owned by the association. This includes:
- Common buildings and amenities—Structures like clubhouses, fitness centers and pool houses may be included.
- Outdoor features—Playgrounds, fencing, signage and landscaping elements may fall under the policy.
- Liability protection—If someone is injured in a common area, this coverage may help pay legal and medical costs.
- Directors and officers (D&O) coverage—This may help protect board members against lawsuits related to their HOA duties.
- Property damage—This may cover incidents such as storms, fires or vandalism affecting shared property.
Depending on how the HOA is structured, the master policy may extend limited coverage to the building exteriors of individually owned units.
How Is HOA Insurance Different From Homeowners Insurance?
The key difference is what each policy is responsible for: HOA insurance may cover property and liability related to common areas and shared assets maintained by the association. Homeowners insurance may cover individual homes, their contents and liability.
Is HOA Insurance Mandatory?
In most communities in Clearwater, FL, HOA insurance is not optional. Failure to maintain proper insurance can expose the association and its members to serious financial risk.
Learn More
If you’re on an HOA board or simply want to better understand how your community’s insurance works, a knowledgeable broker in Clearwater, FL can help. Contact us today to learn more.