Spring Training: Important Insurance Tips for Condo Property Managers

Many things can impact your building during the winter, so it’s a good idea to make a spring inspection of your property part of your yearly routine.

Embarking on a spring check-up can seem like a daunting task, so an important first step is getting assistance from the people who live in the complex. This acts as an important outreach program that provides an opportunity for the owners as the eyes and ears of the condo corporation to get involved in their community and have their say.

While scheduled inspections and maintenance of the property are still essential, residents also play an important role in ensuring that concerns that come up daily at a ground level are identified in a timely manner so that they can be addressed.

Being proactive in managing hidden and potentially damaging risks can save the corporation time and money in the long run. It’s a smart strategy and will get buy-in and support from owners. Attention to those little details and cosmetic fixes that residents see will also make the building attractive to current and new owners.

A good way to promote communication is to institute a newsletter that can be printed and distributed in mail slots or, with permission, emailed to residents. In seeking feedback, it is best to provide a formal process for residents to report concerns and submit repair or maintenance requests. Official opinion forms should include the resident’s name, address, contact information and date and description of the concern or complaint.  If multiple requests are received at the same time, priority should be given to those needed to limit potential property damage or where there are safety issues. It is important to identify who should be handling the requests and ensuring issues are addressed. The corporation should maintain a list of vendors who can assist in urgent situations.

A regular risk prevention program generally consists of a checklist, a reporting system for owners to report building emergencies and areas in need of attention, and a property management policy. Clear communication of the program to the ownership will increase the chances of participation and effectiveness.

Once you have established that two-way communication, there are several more steps you need to take to keep the building ship shape:

1. Inspect Building Envelope for Insurance Risks: Shake off winter’s icy grip — examine the building façade, windows, gutters, and roof for signs of winter damage that could lead to insurance claims. Address repairs promptly to minimize liability and protect coverage. Regular building inspections should also be performed to assess the integrity of the building envelope and structure. Plan and budget for, and seek professional advice from engineers, architects, and other experts for upgrades.
2. Awaken that Green Thumb: Neaten up that landscaping — trim those trees, remove dead plants, fallen branches, freshen the mulch, and let your property shine!
3. Maintain Parking Areas to Prevent Claims: Say goodbye to pothole dodgeball! Clear debris and fix pavement cracks and potholes to reduce slip-and-fall incidents and property damage claims. Ensure parking lines and traffic signs are visible for added safety.
4. Review Security Systems for Liability: Test cameras, intercoms, and access controls to deter vandalism and theft. Update entry codes or key fobs to help maintain adequate insurance protection.
5. Optimize Waste Management for Safety: Ensure garbage and recycling procedures are efficient and bins are clean, sealed and accessible. This reduces fire hazards and the risk of attracting rodents and scavenging animals (bears and racoons), and potential claims due to improper waste handling.
6. Schedule Preventative Maintenance for Coverage: Don’t let maintenance be a guessing game! Service elevators, fire systems, and other essentials so everything keeps running smoothly. A little prep now avoids headaches — and claims — later. Remember that older buildings face unique building and safety code considerations because of their aging infrastructure, outdated building standards, and changing regulations. Electrical systems should be inspected from time to time to ensure safety.
7. Make Sure HVAC Systems Meet Insurance Compliance: Let the fresh air flow! Get HVAC pros to inspect, clean, and tune up units. Good climate control means fewer breakdowns, and less water damage.
8. Proactive Plumbing Inspections Prevent Water Damage: Plumbing should be regularly maintained and inspected. Check pipes, faucets, and irrigation systems for leaks or stains. Fix any issues quickly to keep insurance claims from raining on your parade.
9. Ensure that Contractors have Certificates of Insurance: Many of these projects will require you to engage contractors and other vendors. It is important to ensure that anyone working at the building have the proper insurance coverage. Ask vendors to provide a copy of their Certificate of Insurance (COI), which will note their insurance coverage, limits, and other details. The Corporation should keep the documents in a digital location where it can be easily organized and accessed. A system should be developed to track policy expiration dates, so that updated certificates can be requested when needed. Making sure that vendors have adequate insurance will ensure that all parties are properly protected in the event of an incident.
10. Handling an Incident: Accidents happen and there could be injuries to residents, the public or damage to the property. You should obtain: information (name, contact details) on the injured party, or owner of the damaged property; time, date and location of the accident; documented site conditions at the time and the names and contact information for any witnesses. The accident should then be reported to the Corporation’s General Liability insurer, along with all details and information obtained, as soon as possible. Corrective measures to avoid further accidents should be taken.

Following these simple steps should put you on course for a trouble-free plan for spring success year after year.