homeowners insurance

Not that I've seen. C&Rs should specify this.

And, it was an HOA requirement.

What Melissa is saying essentially is make sure your assessments are on autopay while they're killing you. Gonna make sure the association and your neighbors are not short changed.

It also should be noted that a HOA's deductible isn't necessarily an amount like 1K. It's more like a few thousand dollars. Our deductible alone was 20K. Monthly rate was 2.5K. So if you think the HOA should pick up a "claim" it's going to cost everyone.

You not carrying insurance isn't the responsibility of your neighbors/HOA. Your responsibility it to protect your neighbors from your negligence of not carrying it. The HOA having to pay out toward their deductible... Expect them to raise dues or to sue you for that.

Why do you ask about not having Homeowner's insurance?

If you live in a detached home, your mortgage company is going to require fire, wind and flood. Depending on where you reside, you may need to carry all three, but always fire. The insurance the HOA carries is to cover the associations responsibility for common areas.

If you live in a condo or townhome, then the HOA (all homeowners) is going to responsible for most all the insurance as far as buildings (because they are owned in common). The homeowners, through a HO-6 policy, are responsible for walls in, meaning your property and all upgrades you may have had installed.

More and more lenders are insisting that homeowners maintain a HO-6 policy as well as having the association's policy on file on an annual basis. They have that right.

A state like California, prone to earthquakes, HOA's can amend their CCR's to require homeowners carry loss assessment coverage to cover the high deductible of an association's earthquake insurance policy.

Co-signee or co-beneficiary?

Co-beneficiary. The basic reason is we do not want an owner not repairing/rebuilding to our specifications and/or take the money and run.

We often get a new owner saying his insurance agent says this is illegal/improper. When we do, our attorney sends a letter and that is the end of it.

Our docs call for each owner to send us a copy of their insurance policy but candidly, we do not enforce this so our policy has some holes in it.

I believe you would have a hard time getting that through. People will fight you on it. Some will have their insurance agent play lawyer and write a letter to the BOD saying it is illegal. What might be better is to thoroughly go over your docs concerning insurance and see if something along these lines can be found.

While we do not press our owners on it, you can be sure if there was some major damage, the BOD would be on top of it and maybe even have our lawyer sending a letter to "remind" people.

I will look up the exact wording.

Our CC&R's has it that if your house burns/wiped out, then you are still responsible for rebuilding on that lot. You can't just sell an empty lot. It has to be returned back to original condition. Believe there is a section that covers that scenario in many CC&R's. Kind of buried.

It doesn't say how one affords to make repairs/replacement to that lot. We don't make an owner have insurance. It just isn't a smart decision not to have it.

Wish we had something like that.

Can you provide exact wording? Thx.

Sorry don't have the exact wording. My documents are in a box in a closet... LOL. However, I don't see why it's not something one can modify into their documents if you plan to make changes. It may be a good thing to ask a lawyer about adding to your CC&R's about what happens in a disaster.

Keep in mind in our HOA the owner owns the lot the house sits on and HOA owns everything else around it. So the selling the lot alone has ramifications to the HOA. Hence why we make it so have to rebuild or the new owner has to rebuild back to original condition. Can't just leave the lot empty.