Condo Media - October 2010 - (Page 20)

HOMEOWNER’S CORNER by Herb Segal Unit Owner Policies What You Need to Know urchasing a homeowner insurance policy, (i.e., HO6) for a condominium unit owner is not difficult if you understand your association’s master policy. When the condominium buys a master policy, it may cover unit improvement or it may not; and it may have a high building deductible or it may not. The master policy will never cover your personal belongings or negligence claims against unit owners. These master policy gaps are why unit owners must buy homeowner insurance. The HO6 policy for condominium unit owners should be designed to wrap around the master policy. P Your first step in purchasing unitowner insurance is to determine if the master policy covers unit improvements and betterments, so you know how much dwelling coverage you should buy. In other words, if you improved your unit, is it your responsibility to insure the improvements, or is it the responsibility of the trustees under the master policy? You should also determine the dollar amount of the master policy deductible. This also is listed on the condominium certificate. It’s not unusual to find master policies with $10,000 deductibles, percentage wind deductibles and additional water deductibles. If it is set up correctly, the homeowner policy can reduce the master policy deductible. It is strongly recommended that unit owners review their personal coverage needs with their insurance agent. Personal belongings, liability claims within your unit, scheduled items and loss assessment are all important considerations. CM Herb Segal is commercial lines manager, vice president with Richard W. Endlar Insurance Agency Inc. An active CAI New England chapter member, he is a frequent author and speaker. How did we know what Thayer & Associates needed from a bank? We asked them. We know from working with Thayer & Associates that managing properties is a time-consuming We work king Associate es i business. Let Cambridge Savings Bank simplify your banking with: Camb bridge y Cash Management Services h Escrow Management Services Es scrow s Business WebBank Bu usiness WebBank SM Capital Improvement L Loans1 Flexible options and quick decisions One-year renewable Lines of Credit e d Negotiable rates and fees Business Remote Capture Bu usiness To learn how Cambridge Savings Bank can simplify your business, call David Holt, Vice President, simplify Vice To Cambr ridge Dav vid at (617) 441-4237. Member FDIC 1. Subject to approval. Equal Housing Len Lender nder Member DIF Me ember DIF 20 CONDO MEDIA • OCTOBER 2010

Table of Contents for the Digital Edition of Condo Media - October 2010

Condo Media - October 2010
From the CED’s Desk
President’s Message
CAI News
CAI Regional News
Asked & Answered
Homeowner’s Corner
CAI-NE Annual Conference & Expo
Vendor Spotlight
Board Member Insight
Industry Perspective
Advertisers Index
Classified Service Directory
Statement of Ownership

Condo Media - October 2010