Why a 5-Year Maintenance Plan Can Help Shape Your Association’s Insurance Future

Insurance carriers are no longer evaluating communities based solely on premium and claims history—they are increasingly focused on the maintenance story a building tells. A well-structured five-year maintenance plan provides the roadmap underwriters want to see, outlining when roofs will be replaced, when plumbing risers are scheduled for upgrades, which balconies or decks are due for structural review, and how the building envelope is being monitored for early signs of water intrusion. These elements demonstrate that the association is proactively managing risk rather than waiting for claims to force action. Insurance is designed to respond to catastrophic events, not failures resulting from deferred maintenance. A comprehensive plan should extend beyond major capital projects to include predictable, recurring inspections that identify issues before they escalate. Annual roof evaluations, crawlspace moisture checks, plumbing line inspections, and deck safety assessments create a documented record of diligence that directly supports insurability. Associations can further strengthen their risk profile by engaging unit owners in preventative maintenance efforts, such as requiring the replacement of aging water heaters, verifying angle stops and supply lines, and encouraging the installation of water sensors in higher-risk units. What truly sets an association apart is its ability to translate these efforts into a compelling risk narrative. An annual “risk audit” summarizing completed maintenance, upcoming projects, and lessons learned from past claims provides underwriters with the context needed to evaluate the community with confidence. Presenting a clear summary—such as recent roof replacements, scheduled plumbing upgrades, balcony inspections, or drainage improvements—demonstrates progress, planning, and ownership of risk. In a market where carriers are reducing capacity and raising underwriting standards, communities that can articulate this level of preparedness consistently achieve more favorable insurance outcomes. Providing this information allows an experienced insurance professional to present a stronger and more compelling risk profile to carriers on the association’s behalf.

Coverage Corner: Non-Owned & Hired Auto Liability Coverage

Non-Owned and Hired Auto Liability is a commonly overlooked yet essential component of a community association’s insurance program. This coverage protects the association when an individual is driving their personal vehicle or a rented vehicle on behalf of the association and causes an accident. Although the driver’s personal auto insurance typically responds first, the association can still be named in a lawsuit if the trip was connected to association business. Without this coverage, routine activities could expose the association and its members to significant financial liability. For example, a community manager traveling to the property to conduct a walkthrough, meet with contractors, or address compliance issues may inadvertently create liability exposure if an accident occurs. Similarly, a volunteer board member picking up supplies for a community event or delivering notices may place the association at risk. Even though the association does not own a vehicle, it can still be held responsible because the activity was performed on its behalf. Non-Owned and Hired Auto Liability serves as a critical safety net by filling the gap between an individual’s personal insurance and the association’s potential liability. In today’s increasingly litigious environment, this coverage ensures that the association is protected from risks that might otherwise go unnoticed.

Owners’ Question: If Our Vendor Contracts and Expenses Aren’t Increasing This Year, Why Are My HOA Dues Still Going Up?

Even when vendor expenses remain stable, association dues may still increase because financial planning encompasses more than routine service costs. Best practices recommend strengthening reserve funds, updating aging infrastructure, and preparing for unexpected repairs or new risk management initiatives that were not anticipated in previous budgets. Associations must also account for rising insurance premiums, inflation, and the need to maintain adequate financial reserves to ensure long-term stability. Gradual increases in dues help the community remain well-maintained, properly insured, and financially prepared for both expected and unforeseen projects. By planning ahead, associations can avoid sudden special assessments and better protect property values for all homeowners.

Update of the Month: Replace Your Under-Sink P-Trap Before It Fails

The P-trap located beneath kitchen and bathroom sinks plays a small yet vital role in maintaining proper water flow and preventing leaks. Over time, older plastic traps can become brittle, crack, or loosen at connection points, particularly when cleaning products stored beneath the sink accidentally bump the piping. A cracked or dripping P-trap can lead to warped cabinets, damaged flooring, and moisture that spreads into walls or neighboring units. Even a slow, unnoticed leak can escalate into a multi-thousand-dollar repair, far exceeding the minimal cost of replacing the component. Upgrading to a sturdier PVC or metal P-trap is a simple and effective way to reduce the likelihood of an avoidable insurance claim. Many homeowners can complete this replacement themselves using basic tools, ensuring the correct size and style match the existing plumbing configuration. Hardware stores typically offer complete kits priced between $10 and $25, and installation resources are widely available. However, if space is limited, connections appear corroded, or there are signs of long-term moisture, hiring a licensed plumber is the safer option. A professional can also inspect for additional under-sink issues during the visit. Whether completed as a do-it-yourself project or by a professional, replacing the P-trap is a quick and cost-effective improvement that protects individual units and helps prevent water losses affecting the entire community.