→ plumbing and wiring. If a corporation is able to provide proof these components have been inspected and are not at risk of failing and being a hazard to the property, the insurance company is more likely to stay on risk for that property. 5. What should condos start doing to help prevent non-renewal of insurance coverage? CD - If they have a property loss that is not considerable, call a restoration company and get an estimate. If the estimate is close to your deductible or a cost that the corporation can tolerate on their own, look after the loss yourself. This is something that you should discuss with your broker as there are many things to take into consideration. If there is a Bodily Injury incident, it must be reported, no matter the severity. Winter maintenance is definitely where a corporation can make a difference. Address any slip and fall conditions immediately. Landscape companies cannot be there 24/7, take it upon yourself to address any unsafe conditions. Identify any conditions such as a dip in the pavement that is known to collect water and ensure that it is sanded during freezing conditions. Sand/salt where downspouts drain onto traffic areas. MS - It is important to make sure the building stays up to date to prevent major losses that would cause insurance to lapse. TB - Work with their broker and property manager well ahead of renewal to ensure any requirements the insurance company may have can be met in good time. If inspections are required, it is best to have them completed prior to renewal in order to get the best renewal terms possible. When a Corp cannot find insurance, what are the first three steps they should consider, to make sure they’re compliant with the Act? CD - This is best answered by a lawyer. MS - They may have to consider a sub - standard market in order to meet the requirements of the act which I believe is replacement cost. Keeping claims free. For Desjardins we consider any claims where there has been a payout in the past 5 years. After 3 claims within that timeline, a client would no longer qualify. TB - 1 – A legal opinion from a condominium lawyer on how to be compliant with respect to notification to owners/ mortgagees, etc. 2 – Discussion with their broker to determine what steps must be taken in order to secure insurance as soon as possible. 3 – Review Corporation ’ s budget to allow payment for future losses until insurance can be secured.
Our thanks to Jennifer Dickenson for posing the questions and for our experts Chris DiPietro, Michael Sroka and Tricia Baratta for their responding guidance. ■
CCI Review 2021/2022 – 4 —May 2022 Page 27
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