In the March 14, 2025 storms, the association sustained wind and hail damage, and a claim was filed under the master policy. While the master policy covers the bulk of the repairs, the deductible assigned to each building is very high—over $400,000 in total across all buildings. By law and under the condominium governing documents, each unit owner is responsible for their proportional share of that deductible. This amount is called the loss assessment.

Even though you pay monthly condominium fees, those fees go toward regular operations, maintenance, and reserves of the association. The deductible for this particular insurance claim greatly exceeds what associations typically hold in reserve. For that reason, these costs have been allocated directly to unit owners as permitted by the condominium documents.

The good news is that HO-6  condominium owners insurance policies include loss assessment coverage, which is designed for exactly this type of situation. If you turn the packet we provided by mail on July 17, 2025  (Statement of Loss, Amendment to the Declaration, and the calculations) over to your insurance agent, they can guide you through filing a claim. Assuming you have sufficient loss assessment coverage, the insurance company should reimburse you for this amount, with your only out-of-pocket cost being your personal policy deductible.

While the loss assessment is legally due from you, your homeowners insurance should step in to pay it (less your deductible). This process is standard and is the way to protect you from having to personally bear a large unexpected expense.

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If you or your insurance agent would like additional documentation, such as a copy of the master policy, please have them contact us directly at (314) 380-3100 or service[AT]ajenning.com. Replace [AT] with the “@” symbol when emailing.