Subject: TCV-TOWNHOME INSURANCE EXPLANATION - Why you're being asked for this information

 

 

Message:

Townhome owners:

 

We’d like to clarify some of the key points of our request for updated insurance information.

When you submit your updated Certificate of Insurance (COI), it must be based on 100% Replacement cost (not appraisal/sales price or loan amount) and must clearly state the following:

• Dwelling limit
• Other Structure limit
• Replacement cost information, if different than Dwelling limit

From the insurance information collected from townhome owners in 2019, it was estimated that 80-90% of the townhomes are not insured correctly, with either:

• no "other" coverage for detached garages
• coverage limits that are far below replacement cost
• condominium or contents-only policies (no structure insurance)

Please do not send in the same form you sent in 2019 without reviewing with your insurance professional. Tell them you need 100% replacement cost and you need to cover your detached garage. This not only protects you, but the other owners you are connected to.

IMPORTANT: If we don’t have the updated policy information that meets the requirements by March 7, 2020, you run the risk of the Association buying a policy for your property and adding the cost to your account (which we’d prefer not to do).

 

Thank you.

 

CERTIFIED LETTER NOTE:  Two emails have gone to townhome owners for this project.  Certified letters have also been sent, simply for those who might not use email. It also gives us legal proof that the information was sent.  If you have submitted your updated information, the letter is just a formality.