Insurance Agent of Fieldstone Owners Association Socher Insurance Agency, Inc. Account Manager: Maria Fajardo 1065 East Hillsdale Boulevard, Suite 425 Foster City, CA 94404 Direct line: (650) 784-0966 Office: (877) 317-9300 toll free Fax: (877) 317-9305 free fax Email: firstname.lastname@example.org
Below are some Insurance FAQs. However, please do not rely on this guidance: get expert help from your insurance agent or lawyer.
Question: What kind of insurance should I carry? See the Insurance letter that was distributed at the annual Owners meeting in October 2013, and in the 2013 Annual Disclosures. A copy of this letter is in this link: Fieldstone Insurance FactsOct2013 . It has information on the Association Insurance Policy, including what is and is not covered, and deductibles. Here is a short summary from the linked Handout: Unit Owners should carry HO6 policies on their Unit, or HO4 polices if they rent out their Unit to others. These policies should include:
Building Property: coverage for any upgrades and/or improvements made to the standard construction, whether or not these upgrades were part of the original construction or added later; because the Association's master policy only covers the cost of the standard grade or equivalent replacements, your personal insurance would need to cover the incremental costs of the upgrades.
Personal Contents Coverage: coverage for any personal items that belong to you and not to the Association.
Deductible Reimbursement: owners are responsible for the deductible if the damage occurred to their unit; Association is responsible if damage occurred to the Common Area; if damage affects more than one unit and/or Common Area, the deductible is split among those impacted per the CC&Rs (Section 12.02 G1 and G2).
Personal Liability: protects the unit owner from liability losses, such as (slip-and-falls) that occur within your unit and beyond.
Loss of Use: if there is a loss at your Unit and you have to stay off premises during the rebuilding process, this coverage will take care of that extra expense.
Loss Assessment for Property/Liability and/or Earthquake: if a covered loss exceeds the limits of the Association's insurance policy, the Association will have to specially assess the Unit Owners to make up the difference. This coverage will provide funds to pay such a "special assessment."
Earthquake coverage: this is a separate policy that includes coverage for minor structural damage to the inside of the Unit, for personal property and for loss of use as a result of an earthquake, and for any earthquake loss special assessment.
Question: What do the CC&Rs say about Association Insurance? You may find a copy of the Insurance section of the CC&Rs on the Rules and Forms page. CC&R Section 12.02 as amended January 2009, requires the Association to buy a policy that covers fixtures originally installed and any equivalent replacements including, but not limited to: - interior walls and doors; - ceiling, floor and wall surface materials (e.g., paint, wallpaper, mirrors, carpets, and hardwood floors); - utility fixtures (including gas, electrical and plumbing); - cabinets; - built-in appliances; - heating and air-conditioning systems; - water heaters installed as a part of the original construction of the residence and any equivalent replacements.
The CC&Rs exclude from coverage of the Association Insurance policy: - any personal property located in the Unit; - any Improvements or upgrades after original construction
Question: Who pays the Deductible on the Association (HOA) policy? According to CC&Rs section 12.02G, as amended January 2009, “When a claim is made on the Association's property insurance policy,responsibility for paying the deductible is: 1. the Owner when damage is to the Owner's Unit; 2. the Association where damage is to the Common Area. In cases where damage affects more than one Unit or a Unit and the Common Area,each Owner is responsible for the cost to repair the Owner's Unit up to the deductible and the Association is responsible for the cost to repair any other Common Area Improvements up to the deductible. If the cumulative cost of repairs exceeds the deductible, the burden of the deductible shall be prorated between or among the claimants based on the proportion that the costs of repairs to the Unit or Common Area bears to the total cost of repairs.”
Note: Owners may want to check whether their own insurance policy covers them for the HOA deductible.