If you currently insure clients that sit on homeowners’ association, or HOA boards, they may have questions about what makes a successful HOA. Many neighborhoods opt to form these associations to help address issues pertinent to the whole community. However, even if your clients currently have professional HOA insurance in place, attend meetings regularly and feel the board is doing its best, there are a few key signs of a successful HOA they may want to keep an eye out for.
1. Emergency Maintenance Situations Are Addressed Promptly
It’s often the mark of a poorly managed HOA when emergency situations take forever to be addressed. Conversely, successful HOAs address emergencies and important maintenance situations right away. For instance, if a snowplow is needed to clear roads in the neighborhood, it’s your client’s board’s responsibility to ensure services go out to the neighborhood as quickly as possible.
2. Residents Feel Their Concerns Are Heard and Their Needs Are Met
A successful HOA board centers the experiences of its residents and ensures that everyone’s concerns are heard, and their needs are met. Holding regular open meetings and making it easy for residents to submit complaints, for instance, is one way your client’s HOA can open lines of communication with residents and help everyone’s needs to be addressed.
3. The HOA Budgets Responsibly and Doesn’t Over- or Undercharge Dues
Poor budgeting is at the heart of many HOA woes, so what helps to set apart truly successful HOAs is their smart, responsible, and effective management of money. Proper budgeting also means not overcharging or undercharging on membership dues, which can cause residents to either overpay or, conversely, to feel that their community isn’t holding up its end of the deal.
4. The HOA Emphasizes Regular, Open Communication With Residents
An HOA at its best makes sure that community members are always in the loop about what’s been going on in their area. Signs your client’s HOA has been successfully communicating with residents include traits like:
- Sending out regular email updates
- Creating an app platform where residents can discuss issues
- Responding to phone calls promptly
5. Bylaws Are Enforced Consistently and Fairly
Finally, perhaps nothing is more upsetting to residents than when bylaws are not enforced evenly and fairly, or when they aren’t enforced at all. When members agree that a certain rule should be enforced, uneven application of that rule can create tensions and frustrations in the community. A successful HOA ensures the consistent and fair application of all bylaws.
Whether your clients are the head of their local HOA board or are simply community members hoping to evaluate their HOA’s performance, there are several signs of success you can point them towards. By checking for these signs, getting thorough HOA insurance as a protective step, and performing self-evaluation regularly, your clients can do their best to run a truly successful HOA.
About Kevin Davis Insurance Services
For over 35 years, Kevin Davis Insurance Services has built an impressive reputation as a strong wholesale broker offering insurance products for the community association industry. Our president Kevin Davis and his team take pride in offering committed services to the community association market and providing them with unparalleled access to high-quality coverage, competitive premiums, superior markets, and detailed customer service. To learn more about the coverage we offer, contact us toll-free at (855)-790-7393 to speak with one of our representatives.