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Association insurance questions/help

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michellebama

Junior Member
What is the name of your state? AL.

I own a condo on the beach in Alabama. Alabama condo law states that the association is required to obtain and hold insurance coverage for the property of no less than 80% of the current tax assessor's property value. After hurricane Ivan hit, our association assessed the owners anywhere from 10,000 to 15,000 depending on percentage of ownership. After filing insurance and being denied the assessment amount, I found out that the association's master policy coverage amount was only 50% of the the tax assessor's value instead of the 80% coverage amount as required by law. Does the association have the right to assess so much money even though they didn't meet the coverage requirements by law? If so, how and why? If not, what action(s) can the owner's take not to have to pay for the association's lack of compliance with the state law? Can anyone help me????
 


HomeGuru

Senior Member
michellebama said:
What is the name of your state? AL.

I own a condo on the beach in Alabama. Alabama condo law states that the association is required to obtain and hold insurance coverage for the property of no less than 80% of the current tax assessor's property value. After hurricane Ivan hit, our association assessed the owners anywhere from 10,000 to 15,000 depending on percentage of ownership. After filing insurance and being denied the assessment amount, I found out that the association's master policy coverage amount was only 50% of the the tax assessor's value instead of the 80% coverage amount as required by law. Does the association have the right to assess so much money even though they didn't meet the coverage requirements by law? If so, how and why? If not, what action(s) can the owner's take not to have to pay for the association's lack of compliance with the state law? Can anyone help me????

**A: you need an opinion from the HOA attorney.
 

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