Loss assessment coverage, also known as special assessment insurance, is a type of protection in homeowners and condominiums policies. This coverage provides peace of mind by helping policyholders cover the additional costs that may arise from assessments levied by the association.
It provides additional coverage in cases where owners are responsible for bearing the costs of repairing or replacing common damages to shared areas or elements within a community of owners. These loss assessments may include, for example, detriment to common areas such as hallways, pools, parking lots, or plumbing systems.
Without this coverage, owners could face unforeseen and unexpected charges.
At PSIC, we understand the importance of protecting homeowners from unexpected financial burdens. That’s why we offer loss assessment coverage as an addendun to our Homeowners and Condo insurance policies. This endorsement is specifically designed to protect policyholders from financial charges.
It helps cover the expenses associated with repairing or replacing damaged common areas, ensuring that the financial burden is distributed among all the homeowners.
These terms might be similar or associated with the term you have read before.
At PSIC, we consider that they can be helpful for you.
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