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The Basics of Community Association Insurance | Naples Insurance Agency | Fort Myers Insurance Agency

Apr, 25
0

Community organization is an umbrella term that covers a wide range of different nongovernmental organizations. In a community organization, the members of said organization are, as the name implies, made up of members of the community they serve. Examples of common types of community organizations include cooperatives, a condominium community, and even a group of homeowners from a pre-defined geographical area of interest.

 

These organizations are varied and set up in a variety of different ways. Participation is voluntary and may also serve as social clubs, service organizations, and even organizers of youth sports groups. There are a number of common types of community associations, which include: community gardens, homeowners associations, and neighborhood watch groups. These groups will meet at intervals to discuss problems/issues and to plan future efforts within the community.

 

These organizations play a vital role in the overall health and wellbeing of a community and can enhance the safety and feelings of a community as well. However, no matter how well intentioned any organization is, the members can be at risk of personal financial loss as a result of actions taken or not taken by said organization. This is why it is important for community associations to have the proper insurance.

 

Director’s and officer’s liability insurance (often referred to as D&O insurance) protects the board and other members against personal financial liability in the event of a claim filed as a result of an action (or inaction) of the community association one are part of. These are unpaid positions and people volunteer their time to help in a cause they feel strongly about. They shouldn’t have to risk financial ruin as a result of said association.

 

Most associations are required to indemnify their board members, which means that the company agrees to reimburse board members if a case or claim is brought against them or the board. However, this is not always enough and doesn’t cover all members. That is why such stand-alone policies are added peace of mind and protection for the members of your community organization.

 

The work of community associations is varied and wide reaching. Concerned and dedicated members of the community volunteer their time to causes that are important to them and to make decisions on the behalf of their communities. These decisions can, at times, have unintended consequences, that can leave the members of the associations at risk financially in the event of a claim filed against said organization. Community association insurance, such as D&O coverage, provides added protection against the individual financial liability of the members of the organization.

 

If you have further questions or would like a quote, please give Centennial Insurance a call at 239-247-5125. Our agents are here to help. www.cisinsfl.com

Apr, 25
0

condoCommunity organization is an umbrella term that covers a wide range of different nongovernmental organizations. In a community organization, the members of said organization are, as the name implies, made up of members of the community they serve. Examples of common types of community organizations include cooperatives, a condominium community, and even a group of homeowners from a pre-defined geographical area of interest.

 

These organizations are varied and set up in a variety of different ways. Participation is voluntary and may also serve as social clubs, service organizations, and even organizers of youth sports groups. There are a number of common types of community associations, which include: community gardens, homeowners associations, and neighborhood watch groups. These groups will meet at intervals to discuss problems/issues and to plan future efforts within the community.

 

These organizations play a vital role in the overall health and wellbeing of a community and can enhance the safety and feelings of a community as well. However, no matter how well intentioned any organization is, the members can be at risk of personal financial loss as a result of actions taken or not taken by said organization. This is why it is important for community associations to have the proper insurance.

 

Director’s and officer’s liability insurance (often referred to as D&O insurance) protects the board and other members against personal financial liability in the event of a claim filed as a result of an action (or inaction) of the community association one are part of. These are unpaid positions and people volunteer their time to help in a cause they feel strongly about. They shouldn’t have to risk financial ruin as a result of said association.

 

Most associations are required to indemnify their board members, which means that the company agrees to reimburse board members if a case or claim is brought against them or the board. However, this is not always enough and doesn’t cover all members. That is why such stand-alone policies are added peace of mind and protection for the members of your community organization.

 

The work of community associations is varied and wide reaching. Concerned and dedicated members of the community volunteer their time to causes that are important to them and to make decisions on the behalf of their communities. These decisions can, at times, have unintended consequences, that can leave the members of the associations at risk financially in the event of a claim filed against said organization. Community association insurance, such as D&O coverage, provides added protection against the individual financial liability of the members of the organization.

 

If you have further questions or would like a quote, please give Centennial Insurance a call at 239-247-5125. Our agents are here to help. www.cisinsfl.com

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