The HOA buys insurance every year in accordance with Article VIII, Section 3 of the Covenants. An insurance policy described in Sections 1 and 2 is no longer available on the market. As required in Section 3, proper notice of this was given to all unit owners in November 2015.
As a result, the HOA policy provides “Studs out” coverage which will rebuild the structure of the unit. However the finish elements of each unit, such as sheet rock, painting, flooring, etc (sometimes referred to as “studs in” elements”) are not covered.
Your mortgage company may want to know if we carry this insurance. If you get a notice that your mortgage company needs to know if we do carry insurance, please give your mortgage company the phone number for Billups & Snyder which is 816.229.3000 and they will provide your mortgage company with a certificate of insurance. If you have questions about this process, please go ahead and call Billups & Snyder yourself. They will have the best information.
Every homeowner should carry an “HO6” policy on their individual unit. This type of policy should cover the “studs in” elements described above as well as the value of the contents in your unit. Those details need to be worked out with your own insurance agent.
If you are a Landlord and renting the unit out then you should have a “dwelling fire” insurance policy to cover your unit from the “Studs In” and including “Loss of rents” for landlord.
If you feel the HOA insurance policy should cover some item or damage you are facing, please contact the message center at 816.229.1222 to check. If there is a legitimate claim that is covered by the HOA policy, a board member must place the claim. Individual HOA members may not contact our insurance agency to make a claim on the policy. HOA policy does not cover drainage leaks, sewer line breaks, waterline breaks or water damage in the interior of units.
Below is a letter from our attorney and insurance agent to further explain our policy.