Why Every Condo Association Needs Errors & Omissions Insurance

Condo Association Insurance Programs > Errors & Omissions

We’ve already covered how important it is for board members of condominium associations to carry Directors & Officers insurance to protect themselves against certain management liability exposures, but that isn’t the only coverage they should be carrying. While D&O will provide protection against management liability exposures that arise from the management’s actions, E&O insurance is necessary to protect against performance failures and negligence that relate to the business’s products and services. Condo associations, having a broad range of duties, open themselves up to exposures on both fronts, and should have Errors & Omissions insurance to protect themselves from allegations of wrongful acts that cause their claimants financial harm.

Common Exposures

As a result of the management services they provide, condo associations open themselves up to a number of professional liability exposures, many of which are not covered by their D&O policy or by the hold harmless and indemnity provisions in their management agreement. Some of the most common E&O claims against condo associations are:

  • Negligence
  • Error resulting in financial loss
  • Misrepresentation
  • Improper documentation or communication
  • Lacking proper business practices
  • Breach of duty

Having the Right Coverage

At Kevin Davis Insurance Services, we understand just how many liabilities that community associations like condo associations are open to in their everyday duties, and we have created a comprehensive policy to address this. Our policy has a broad definition of insureds including the entity, directors, officers, partners, members of the board of managers of the insured, employees, and managers acting on behalf of the association.

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 (877) 807-8708 to speak with one of our representatives.