Condominium towers and mid-rises have become a large part of downtown Denver's residential mix, from converted lofts in LoDo to newer buildings near Union Station and in the Golden Triangle. Most are governed by a declaration, bylaws and rules that say what the association maintains and insures and what each unit owner is responsible for. When water moves down a stack of units, those documents determine who does what. Boards rely on their manager and attorney to interpret them; this page is a general orientation, not legal advice.
Typical coverage layers in a condo loss
- Layer
- Association master policy
- What it often covers
- Common elements and, depending on the documents, some original unit components
- Watch for
- Deductible amount and how it is allocated to owners
- Layer
- Unit owner policy
- What it often covers
- Owner's improvements, contents, and sometimes the master deductible share
- Watch for
- Loss assessment coverage limits
- Layer
- Renter policy
- What it often covers
- A tenant's personal property and liability
- Watch for
- Many renters carry none
- Layer
- Liability of the responsible party
- What it often covers
- May apply if negligence caused the leak
- Watch for
- Insurers may pursue recovery from each other
Your declaration and policies may differ. Many associations publish an insurance and maintenance chart for owners.
The board's first week
- Day 1
- Manager stops the water, documents the source, and authorizes emergency mitigation in common areas and, where the documents allow, affected units.
- Day 1 to 2
- Notice goes to the master policy carrier and to owners of affected units, asking them to notify their own insurers.
- Day 2 to 3
- Board or its delegated officer confirms who will authorize work inside units and how costs will be tracked per unit.
- Day 3 to 5
- Adjuster inspection. Manager provides moisture logs, photos and the source report.
- End of week
- Board reviews the cause, the deductible question and the communication plan for the rebuild phase.
Questions boards commonly need answered
- Under the declaration, who maintains the pipe or fixture that failed?
- Is the master deductible charged back to the unit where the leak began, and under what conditions?
- Does the manager have authority to approve emergency work up to a set limit without a board vote?
- Can the association enter a unit in an emergency, and what notice is required afterward?
- Will the restoration contractor track costs and moisture readings by unit?
- How will owners who are out of state or renting their units be reached?
General information for Downtown Denver, not a quote or professional advice. In an emergency, call 911.