INSURANCE COVERAGE INFORMATION (aka INSURANCE DISCLOSURE)
Once a year, most mortgage lenders require that borrowers provide them with proof that the Association has a master property, casualty, fire, and liability insurance policy in force. The requirement can be satisfied by providing them with this proof of insurance document. Note that MBHOA's current master insurance policy does not cover the following items:
Personal property and contents, e.g., furniture, clothing, electronics, collectibles, etc.
Upgrades beyond original materials, e.g., granite counters, hardwood floors, premium blinds, etc., collectively known as betterments
Loss of use, payment for relocation expenses should you have to live elsewhere while your unit it being rebuilt
If you are a landlord, lost rent if there is a fire and your tenant is displaced
If you are a tenant, your personal property and contents
This newsletter provides a lot of information about how insurance works, including what IS and what IS NOT included in the coverage provided by MBHOA's master policy. Please contact your personal agent to discuss the costs and benefits of getting your own coverage for the items listed above and other risks that may not be covered by our master insurance policy. Contact MBHOA's insurance agent -- see proof of insurance for their contact info -- if you need a complete copy of the association's master insurance policy.
Finally, note that MBHOA does not carry earthquake insurance and you are at risk of a significant earthquake loss assessment should there be a damaging earthquake. Visit the California Earthquake Authority's website and click on Insurance Policies > Condominium > Condo Coverages & Deductibles for more information about your risks and the various products the CEA offers to cover them.