Condominium Association Insurance Claims in Florida

Condominium associations in Florida carry a unique responsibility — safeguarding the common property shared by dozens or even hundreds of unit owners. When storms, water leaks, or fires cause damage, determining where the association’s coverage ends and the individual unit’s begins can quickly become complicated. Public Loss Adjusters, LLC represents Florida condominium association insurance claims, property managers, and boards of directors to navigate these complex claims with precision and full compliance under §626.854 and §627.70131 of the Florida Statutes.

Why Condo and HOA Claims Are Different

Unlike traditional commercial structures, condominiums have layered ownership interests: the association owns and insures the building shell, roof, hallways, lobbies, and mechanical systems, while individual unit owners carry policies for interiors and contents. Coordinating these policies requires expert understanding of master policy limits, declarations, and deductibles. We act as the liaison between the association, the insurance carrier, and affected unit owners to streamline the process, avoid duplication, and maximize collective recovery.

Common Causes of Condo Association Claims

• Wind and storm damage to roofing, exterior walls, and common balconies.
• Water intrusion from plumbing or roof failures affecting multiple stacked units.
• Fire or smoke spread through shared ductwork or electrical systems.
• Mold growth following delayed mitigation or hidden leaks.
• Hurricane or tornado losses involving complex deductible and allocation issues.

Typical Challenges for Condo Boards

• Master vs. Unit Policy Conflicts: Carriers disputing whether damage belongs under the association’s or owner’s coverage.
• Special Assessment Exposure: Boards forced to levy assessments to cover deductibles or shortfalls.
• Ordinance & Law Upgrades: Required code improvements not included in carrier’s initial estimate.
• Scope and Pricing Disputes: Carriers undervaluing roof replacements, elevators, or façade repairs.
• Communication Delays: Slow insurer responses jeopardizing statutory deadlines under §627.70131.

Our Step-by-Step Process

1. Board Authorization: We begin with a formal vote and Letter of Representation signed by the authorized board officer.
2. Property-Wide Inspection: Roof, exterior envelope, common areas, and mechanical systems are documented using drone imagery, moisture mapping, and engineering assessments.
3. Policy and Bylaw Review: We evaluate master policy provisions, association bylaws, and unit-owner obligations to clarify coverage boundaries.
4. Claim Preparation and Submission: We compile comprehensive estimates, photographs, and code documentation, then submit them directly to the carrier.
5. Negotiation and Resolution: We manage communication with all carrier adjusters, enforce statutory timelines, and, if necessary, invoke appraisal or DFS mediation.

Protecting the Association’s Financial Stability

Insurance shortfalls often lead to unwanted special assessments. Our objective is to prevent that outcome by recovering the full insured value for all common-area damage. We also ensure that depreciation, deductibles, and supplemental repairs are tracked and properly reimbursed. In large-scale hurricane claims, we coordinate with engineers, contractors, and accountants to develop accurate replacement cost valuations that withstand scrutiny and support final settlement.

Business Interruption & Loss of Rents Coverage

Some condominium associations maintain additional coverage for loss of rents or business interruption (for common facilities such as gyms or rental units). We identify these endorsements and prepare financial analyses demonstrating lost revenue and continuing expenses, including security, maintenance, and administrative costs incurred during repairs.

Statutory Timelines and Board Responsibilities

Florida Statute §627.70131 requires insurers to acknowledge the claim within 14 days, communicate updates every 30 days, and issue payment or denial within 90 days unless circumstances beyond their control exist. Boards must maintain transparency and timely communication with members. We assist in drafting resident notices and maintaining official claim files for association records and DFS compliance.

Frequently Asked Questions

Who decides whether the association hires a public adjuster?

The board of directors votes to authorize engagement under the association’s governing documents. We then execute a formal Letter of Representation consistent with §626.854, Florida Statutes.

Can individual owners file separate claims?

Yes. Unit owners may file for interior or contents damage under their personal policies while the association pursues common-area recovery. We coordinate both processes to prevent overlap and confusion.

Does the association’s policy cover landscaping or signage?

Generally, yes — most master policies include exterior signage, lighting, and landscaping under Coverage A or B, depending on policy structure.

What if the carrier delays or underpays the claim?

We enforce statutory deadlines and, when appropriate, request appraisal or DFS mediation. All communications are documented to preserve rights and ensure transparency.

How are hurricane deductibles handled?

Hurricane deductibles are typically a percentage of the insured value (often 3–5%). We calculate and document this amount precisely so the board can plan financial strategy and member assessments if necessary.

Notice: This page provides general information for Florida condominium associations and does not constitute legal advice. Public Loss Adjusters, LLC, License A161638. Consistent with §626.854 and §627.70131, Florida Statutes. Supporting documentation and exhibits are provided under separate cover upon request. Please confirm receipt in writing.