Explain Loss Of Assessments
Loss Of Assessments Technical Terms
Loss Of Assessments : A policy coverage that reimburses an Association for funds not collected from unit owners, whether or not mandated by the CC&Rs. Normally it applies only when an insured loss has led to the nonpayment; the carrier does not intend to become a collection agency for the Association. If mandated, the insurance company will assume the collection rights of the Association. The benefit of this coverage is a protection of the cash flow of the Association immediately after a loss.