Quote:
Originally Posted by Calgary14
^Got it. But insurance would be irrelevant for a special assessment though as there isnt coverage for that, correct?
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Someone flooding 6 floors of a condo because they left their tub running isn't really a special assessment - consider it more of that owner paying for the damages that they caused.
The condo's insurance will cover the damage except for the deductible. This can be problematic as some condos with bad history have deductibles well over $50K. Individual condo owners will want (*need*) to get their own personal insurance to cover this $50K
A special assessment is more for when items of common property (ie the roof) needs replacement or repair for which all units will benefit from. That said, in the above scenario - if the deductible was $125K and the Board could only charge back $50K - $75 K would be Special Assessed back to the entire complex (assuming they didn't have a spare $75K)