Choosing a Community Management Company with an In-House Insurance Department Is a Smart Business Decision

When HOAs, condo boards, or community associations are assessing potential management partners, there is no shortage of criteria to consider, experience, technology, transparency, service quality. But one powerful advantage often flies under the radar: an in-house insurance department. And trust us, this can make all the difference when your community faces a crisis.

Here’s why partnering with a community management firm that offers in-house insurance services is a strategic move:

Are you Covered?

The Association’s responsibility for obtaining insurance, and the types of insurance that the Association must maintain are described in the New Jersey Condominium Act or in the Master Deed or Declaration. Typically, the Association must insure the main structure of the building and grounds, like the roof, basement, elevator, or boiler for example, and the units as they were initially constructed. How often must the property be appraised? Are solar panels considered part of the building coverage once installed? While board members typically understand liability, are there other specialty policies to consider? An in-house department can assist with the review of these documents when questions arise.

Smoother Claims Management

One of the more stressful moments for a community is navigating an insurance claim, whether it’s due to storm damage, a pipe burst, or liability-related incidents. When the unexpected strikes, you don’t want delays and miscommunication. Claims can be handled by experts who understand the community, its assets, and its challenges.

This leads to:

• Faster claims filing and processing
• Direct coordination between vendors and adjusters
• Proactive follow-up to ensure resolution

Tailored Risk Assessments and Coverage

Communities have complex insurance needs ranging from property and liability coverage to D&O (Directors & Officers) insurance also known as Fidelity Bond. The policy should be reviewed as to who and what is covered. Typically, coverage should include directors and officers of the association in addition to the association’s employees. An underinsured association can result in uncovered costs for owners if damage occurs. Is flood insurance necessary based on updates to FEMA maps? Is earthquake coverage appropriate? Often overlooked or misunderstood is the need for worker’s compensation policy. Coverage must be adequate to cover a claim if an owner uses a non-insured contractor who gets injured while working on the property. In-house professionals are uniquely positioned to understand the nuanced needs of associations and tailor your policies to offer the right protection without unnecessary costs.

They can:

• Evaluate historical claims and identify coverage gaps
• Advise the board on appropriate deductible levels
• Coverage aligned with your layout and governance

This tailored approach helps protect the association from both over-insurance and under-insurance, both of which can be financially damaging.

Empowered Community Boards

Insurance is not a “set it and forget it” component of community management. Board members rotate, and many have little background in risk management or policy interpretation. A management company with in-house insurance offers ongoing education and support so leadership makes smart, informed decisions.

They offer:

• Policy comparisons simplified
• Guidance on how claims may impact premiums
• Risk-reduction strategies that save time and money

Better Vendor Coordination and Compliance

If a loss occurs or a claim is filed, it’s not just about the paperwork. It’s about coordination. The in-house insurance team can work together with maintenance staff, third-party vendors, legal counsel, and accounting to ensure claims are resolved efficiently and that work is done in compliance with insurance requirements.

This integration often leads to:

• Quicker repair timelines
• Fewer disputes
• Solid documentation and audit trails

Smarter Budgeting

While it may seem like a specialized service would come with added cost, the opposite is often true. Think better group rates and prevention of costly mistakes or missed deadlines, such as failing to renew a policy or missing a critical claim window.

These cost efficiencies benefit the entire community through:

• Lower premiums and fees
• Fewer out-of-pocket surprises
• Predictable budgeting

Take Advantage:

Insurance is one of the most vital and complex line items in your budget. Choosing a community management company with integrated insurance services isn’t just smart; it’s essential.

Partner with a team that’s already in the know. When the next storm hits, a lawsuit arises, or a pipe bursts in the clubhouse, your community doesn’t need another phone number to call, it needs a team that already knows the property, the policy, and the plan.

Let’s talk about how in-house insurance can safeguard your community while keeping operations smooth and costs under control. That’s the power of in-house insurance.

Corner Property Management: Experience You Can Trust, Expertise You Can Count On

At Corner Property Management, we know that strong communities are built on trust, transparency, and financial prudence. That’s why our comprehensive service, including an in-house insurance department, prioritizes clear communication, proactive support, and meticulous execution at every step. From navigating claims to tailoring coverage, we deliver consistent results that communities can rely on.

Want to learn how our integrated approach can benefit your community? Contact Lawrence N. Sauer, CMCA, PCAM, CPM at 973.376.3925, ext. #129 or email larry.sauer@cp-management.com today.