Today marks the half way point of "The Top 10 Questions asked by Board Members and Community Managers Regarding HOA and Condo Association Insurance."
By: Brian J. Finnerty (CIC), Area Sr. Vice President, Arthur J. Gallagher Risk Management Services
What is Hired
Non-Owned Auto and why do I need it?
does not have any autos so why do we need this coverage?” is the
question I get asked at least once a week. The question is not a bad
one since the associations usually don’t have any owned autos. The
term “vicarious liability” is why you need and want
For example, if you
have a board member that has an offsite meeting with a vendor,
contractor, etc. and on the way to the meeting has a major accident
that was deemed to be their fault they will get asked the details of
their trip. When they mention doing work for the association we
often see the association get named in the lawsuit as well. Without
some form of auto liability coverage the association could be left
bare and have to defend and pay this claim on their own. Insurance
companies recognize this is a limited exposure for associations and
the premium represents that.
Be sure to check in next week for the next question and answer!