Insuring Association Added Amenities

By:  Becky Hayes, CIRMS, EBP - LaBarre Oksnee Insurance Agency

Among the many considerations for an association, when adding amenities to their community, is the Liability exposure and making sure that the association is properly covered should there be an injury or lawsuit.
Amenities will require both property and liability insurance coverage. Property insurance protects the equipment owned by the association and covers replacement cost of those items due to a covered peril. Liability insurance will cover bodily injury and property damage claims that are brought by a third party due to use of the amenities. A slip and fall on the pickleball and Tennis courts, an injury while using gym equipment or even a dog bite at the dog park may have legal ramifications.
When seeking property insurance for an amenity, you must provide your agent with accurate replacement values of each added piece of equipment. Determining these values can be achieved in a number of ways.  A receipt if the equipment has been recently purchased, an appraisal done on existing equipment or this information can sometimes be found on a reserve study. Many carriers are requesting the Associations Reserve Study In order to ensure they are adequately covering their insured. ​

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