Shopping for Insurance? Start by Shopping Your Broker.

When Boards think about insurance, the focus is often on the policy itself. In reality, one of the most important decisions an association makes is selecting the right insurance broker. Every year, many associations send their insurance out to bid, comparing premiums and coverage, when the greater value often lies in the expertise, guidance, and service the agency provides.

An insurance policy is a contract. A broker relationship is a service. Two brokers can place the exact same coverage with the exact same carrier and still deliver very different results for a community. The difference comes from the work that happens before renewal, the guidance provided throughout the year, the support during claims, and the education that helps Boards make informed decisions. Experience and expertise often provide far more long-term value than simply finding another quote.

Changing brokers and marketing your insurance are not the same thing. A qualified broker should already be evaluating the marketplace and bringing recommendations to the Board when they believe there is a better solution for the association. Frequent broker changes can also result in losing years of institutional knowledge about the community, its history, and its unique risks. That said, if your current broker is not providing the level of service or expertise your association needs, it may be time to look elsewhere.

The insurance premium is going to be paid either way. What is optional is whether that premium buys you a transaction or a long-term relationship. Interview your broker the same way you would any other professional advisor. Ask what services are included beyond marketing the renewal. Do they provide claims advocacy, contract reviews, loss control guidance, Board education, and proactive risk management? Do they specialize in community associations? Understanding reserve studies, governing documents, master policies, HO-6 coverage, and changing statutes requires specialized knowledge that not every insurance professional has.

The right broker creates value that isn’t always reflected on a proposal or measured in dollars each year. The greatest value often comes from helping a Board avoid costly claims, reduce long-term risk, improve insurability, and make better decisions before problems arise. When viewed over many years, the right broker doesn’t simply help purchase insurance. They help protect the financial future of the community.

Tail Coverage: Closing The Gap When D&O Coverage Changes

In the July 2026 newsletter, we covered how a D&O policy’s retroactive date can leave a community exposed if it switches carriers without full prior acts coverage. This month, we are covering the tool that actually closes that gap if an association does not get full prior acts coverage on the new policy: tail coverage.

Tail coverage, also called an Extended Reporting Period, extends the window in which a community can report claims tied to something that happened while the old policy was active, even after that policy ends. D&O policies are written on a claims-made basis, so coverage responds based on when a claim is reported, not when the decision was made. Once a policy is cancelled or not renewed, the ability to report new claims under it goes away too, unless a tail was purchased first.

Board decisions from years ago don’t disappear. A dispute over an assessment or an enforcement action from two years ago can turn into a lawsuit today. If the old policy lapsed without a tail, that claim may have nowhere to land. The association could be exposed and forced to pay legal costs and damages out of pocket.

Tail coverage must be requested by the insured from the expiring carrier. It doesn’t happen automatically, and most carriers only offer it within a limited window after cancellation. An agent may not even know to offer the coverage, leaving the community exposed. Anytime your community changes D&O carriers, ask directly: Does the new policy include full prior acts coverage, or do we need a tail to protect our past Board members?

Tail coverage isn’t an upsell. It’s insurance coverage for former volunteer Board members and a lawsuit tied to a decision they made years ago in good faith.

Owner Question: I’m Worried That My Neighbors May Not Have Enough Insurance. What If There Is An Uninsured Claim After Damage To My Unit?

A: This is a valid concern and one many condominium owners don’t think about until after a loss. If another owner is responsible for damage but doesn’t have adequate insurance or assets to pay for it, recovering those costs can be difficult. That’s why it’s important to make sure your HO-6 policy is properly structured with adequate building property, personal property, loss assessment, and liability coverage.

If the association is responsible for insuring the building structure through the master policy, that shared responsibility helps protect all owners if an individual owner is uninsured or underinsured. When the association maintains appropriate coverage and owners carry properly structured HO-6 policies, the financial risk is significantly reduced.

Update Of The Month: Cracked Sidewalks And Broken Curbs

A cracked sidewalk doesn’t look like a liability claim. It looks like something maintenance will get to eventually. Yet slip-and-fall incidents remain among the most common general liability claims community associations face, and a heaved sidewalk or broken curb is one of the most preventable causes.

Common-area walkways are typically the association’s responsibility, so a fall on a broken curb often becomes a claim against the association’s insurance, not the individual owner’s. Most damage develops slowly. Tree roots lift sidewalks, water freezes and expands in cracks during the winter, the ground settles over time, and curbs age after decades without repair. None of it seems urgent until someone is seriously injured.

Walking the property throughout the year to identify cracked or uneven surfaces helps document repairs that need attention. Review the reserve study to confirm sidewalks and paved surfaces are included with adequate funding. No association wants to discover a hazard only after a claim or realize the repairs were never planned for.