Condo hazard insurance -- who takes the next step? Everyone else is refusing

Question

I live in California. The bank (in Atlanta) who has our home loan needs to see proof of our condo master hazard insurance policy or they will buy us a policy.

The agent who sold the policy told me it's the bank's responsibility to look this information up on line at icerts.com. The bank claims they can’t/don’t have the capability to go to the website; the insurance agent says, yes, the bank does have the capability and I, the unit owner, am somehow supposed to compel them to do it. My HOA insists “Either the bank or the insurance agent should get the information. That’s their job.”

I'm trying to register myself at icerts. Slow going. Meanwhile I'm asking bank, HOA, insurance agency, for help and suggestions. My emails go unanswered. Each continues to point fingers at the other and say "That's HIS job! Don't you do it, homeowner! It's not your job!" Even though my money is going to pay for the new policy if things don't work out.

The whole thing is bizarre and I'm starting to wonder if I need to talk to a lawyer.

Does anyone have suggestions? Am I doing the right thing by registering at icerts? If not, what should I do? TYIA!

Answer 1

The bank doesn't have to do anything. It is your responsibility to provide the proof of insurance. It is the agent's job, which you through your HOA dues paid for, to provide that proof to you.

You shouldn't be registering with icerts. They say so in the first sentence on the registration page:

Unit Owners, Do Not Register Here! If you own an existing property, and have received a letter from your lender requiring an annual renewal/updated certificate for an association that has recently expired, please forward that letter to [email protected] to receive instructions to place your order. If your request is a new loan of any kind, please contact your lender and request that they either contact us to place this order, or register below.

So you can try that route (sending an email to [email protected]), and see if it works. It does cost money, in the range of $20-$100 (I used a different similar service at the time and they charged $75 for this).

If it doesn't, you can try and work with the insurance agent. There are some ways to persuade them:

• California has very strong traditions of consumer protections. In this case, I suggest checking out this site. Let the insurance agent know that as the HOA member - they're working for you, and that in the next HOA meeting you will raise a request to change the insurance agency. Also, remind the agent that the CA Insurance Commission will knock on their doors to ask why they don't provide you with the proof you need.

• If the HOA management company doesn't help you, you can remind them that they too can be fired. This can be done, and isn't even all that hard. There's a lot of competition in the HOA management market, and it wouldn't be too hard to find a new management company. The HOA management company should have provided you the proof of coverage when they renewed the policy.