Who Pays For the Property Managers Extra Charges?
Claims expenses from a property manager can be costly.
What can you condominium do to insure the extra expense? Most contracts between the property manager and the condominium association do not cover these extra expenses
Property Manager Claims Expense:
The role of your property manager is extensive! They are responsible for general upkeep and maintenance, managing income and expenses, negotiating contracts, enforcing rules and regulations, and making sure your building is safe and secure for its tenants.
In the event of an insurance claim a lot of paperwork, documentation, and extra work needs to be done! If your property manager has to work extra hours or pay additional expenses your association may be getting an extra bill. Having an additional “Property Manager Claims Expense” on your insurance policy will help with these unforeseen costs.
Heavy snow in New England last year caused a few roofs to collapse in my area. A property manager at one of the condo complexes explained what the claims process was like.
It began with an emergency call in the middle of the night and a cold ride to the condominium. A few pictures of the damage, lots of documentation, and a call to the insurance company were just the beginning. The added hours of relocating the tenants, meeting contractors, visits to the site to make sure work was being done in a timely manner, all added to her regular workday.
If your condo association has a claim the property manager’s added expenses will probably be billed to the association. Extra coverage on your insurance policy will help pay for these expenses.