Did you know it is estimated that a typical water claim costs somewhere between 70% to 500% more today than it did just a few years ago? And, if your Association has a history of water related claims, you can expect substantial increases in your rates and deductibles.
What can you do?
First and most important, act quickly to establish a procedure to report water claims. Promptly repairing the cause and getting a professional water restoration team on the site is critical.
Second, improve, monitor and document existing maintenance programs. By doing this you can potential save your Association thousands of dollars. After all, most losses are the result of leaky roofs, clogged drains and rain gutters, and deteriorating caulking and weather stripping. Being proactive and maintaining these areas in a consistent and continuous manner is always best. Remember the phrase, “Prevention is the best medicine?” That applies to maintenance too.
Finally, your Association can consider a number of insurance coverage options that will help control both frequency and severity of loss. Those options include:
- Higher deductibles
- Interior property exclusions
- Bare walls policy