Blog
Condominium ownership in Florida comes with unique challenges, especially when dealing with property loss and damage. Under the Florida Condominium Act, particularly detailed in Florida Statute 718.111 (11), condominium owners and associations must navigate a complex framework to determine responsibility for repairs and losses. This statute is crucial for anyone involved in a condo-related dispute or insurance claim in Florida.
It requires the association’s board of directors to purchase adequate property insurance to protect the association, the association property, the common elements, and the condominium property as a whole. On the other hand, developer-owned condominium associations are only required to use their best efforts in attempting to obtain insurance but are not mandated to do so. After a loss, there is sometimes disagreement and confusion as to what items are covered under the association’s policy and which items are covered under a unit owner’s policy.
Tip: The general rule of thumb is that when dealing with property maintenance or repair, look to the declaration of condominium to determine responsibility. When dealing with damage caused by an insurable event, look to Fla. Stat. §718.111(11) to determine responsibility.
What Is a Declaration of Condominium within the Florida Condominium Act?
The Florida Condo Act (Florida Statute 718.111) provides a comprehensive outline for the management and operation of condominium associations. It specifically addresses issues related to the maintenance, repair, and insurance of common elements and units. When a loss occurs, such as water damage or structural defects, determining who is responsible for the repairs can become contentious without a clear understanding of this law.
The basic instrument used to create a condominium is known as the “declaration of condominium.” Each declaration must be recorded in the public records of the county in which the condominium property is located pursuant to Fla. Stat. § 718.104(2).
A declaration of condominium usually states the plan for the development of the condominium, how it is to be operated, and the rights and responsibilities of the association and the unit owners in the event of a loss.
- Most declarations typically address the level of reconstruction or repair required after a loss.
- Some declarations provide that the association must reconstruct and repair the condominium property in accordance with the original plans and specifications for the condominium.
- Some declarations provide that if the original plans and specifications are not available, the board has discretion in this regard.
- Other declarations provide that the property must be repaired or reconstructed to its pre-loss condition.
Amendments to the Florida Condominium Act
Effective starting in 2025, new regulations under the Florida condo repair law will introduce stringent requirements for inspections and repairs, aimed at enhancing building safety and reducing risks from deferred maintenance.
An essential change to these regulations is the requirement for condominium associations to maintain adequate reserves specifically earmarked for funding all necessary repairs that uphold structural integrity.
Understanding Liability under the Florida Condo Act
One of the key aspects of Florida Statute 718.111 is its provisions on insurance. The statute requires the condominium association to insure all common elements and property which form part of the common elements.
The condo owners, however, are typically responsible for insuring personal property within their individual units as well as certain components like drywall, flooring, and fixtures, depending on the association’s declaration.
For example, if a water leak originates within your own condominium – like a malfunctioning washing machine or an overflowing bathtub – you would typically look to your personal insurance policy for coverage of resulting damage.
Your policy, often referred to as an HO-6, offers coverage for interior components of your unit and personal possessions. However, if the association’s governing documents specifically state that certain fixtures or interior improvements fall under the association’s coverage, then the association’s master policy may assume responsibility. It all comes down to what is outlined in the declaration and how it defines each party’s obligations.
Another point to consider is whether upgrades or improvements you make inside your unit are covered by the association or by your own policy. Some owners choose high-end flooring, custom cabinetry, or specialized fixtures. If you have enhanced the value of your property with higher-quality items, you should notify your insurance provider to ensure you have adequate coverage.
Owners are encouraged to review their association bylaws and declarations carefully. These documents reveal important details about what is considered part of the building’s structure and what is deemed personal property. A thorough understanding of these terms ensures that you know which areas you must insure and which areas fall to the association’s master policy.
However, in cases of water damage where the origin is a common element – like a roof or plumbing within a wall – the condominium association’s insurance should cover the repairs.
Florida Statute 718.111 supports the idea that a condominium association carries the burden of insuring common elements. This includes structural features such as the roof, supporting walls, and shared pipes that serve multiple units. If, for example, water damage begins in any part of these shared components – say a leak in the roof that seeps down into your ceiling – the association’s master policy generally covers the structural repairs. That coverage extends to both fixing the underlying cause (like repairing or replacing a damaged pipe) and addressing the resulting damage to any common elements.
It’s vital to note that each association’s specific declaration influences how far that coverage goes. Some declarations may limit the association’s responsibility to only the original specifications of the common elements. In such instances, if the water damages any additions or changes you have made, you might need to use your personal policy to cover those.
In many circumstances, associations and owners end up in disputes about who should bear the cost of such repairs. Those debates often revolve around how the governing documents define the boundaries between common elements and unit components, as well as how Florida Statute 718.111 is interpreted.
If an owner believes a necessary repair clearly originates within a common system or structural feature, they may expect the association to pay. If the association’s board decides the responsibility falls under the owner’s coverage, a disagreement can arise.
How to Determine Responsibility for Repairs After a Loss
When determining who is responsible for the repair and replacement of damaged property, the first question to ask is what caused the damage in the first place. There is an important distinction between damage caused by an insurable event (such as a hurricane, fire, or flood) and damage caused by a non-insurable event (wear and tear, intentional acts, or negligence) under Florida law. Because condominiums are created by statute, courts generally look to the pertinent statutory provision as well as the declaration of condominium (discussed below) to determine who is legally responsible in any given situation.
When damage results from an insurable event, then the requirements of the Act, concerning the responsibility to repair and/or replace will govern. Fla. Stat. § 718.111(11)(f) states that the association is responsible for ensuring the buildings in the community including all windows and sliding glass doors, common areas, and anything for which the unit owner is not responsible under the law. However, the association is not responsible for personal property within the unit or limited common elements, and floor, wall, and ceiling coverings, electrical fixtures, appliances, water heaters, water filters, built-in cabinets and countertops, and window treatments, including curtains, drapes, blinds, hardware, and similar window treatment components, or replacements. To sum things up, as a unit owner, you are responsible for items that are located within the boundaries of your unit and serve only your unit.
Water Intrusion and/or Damage to Sliding Glass Doors After a Hurricane
After a hurricane, your condominium association’s insurer may claim that they are not responsible for repairing or replacing sliding glass doors or windows. Your association may point to the declaration documents and argue that the maintenance and repair of these items is your responsibility. Whether or not maintenance or repair of sliding glass doors and windows in individual units are specifically referenced in the declaration documents, the rule in Florida is that if the loss is caused by a hurricane or other insurable event, the association is responsible for any repairs.
Legal Help to Determine Who Is Responsible for a Loss
The complexities of condo insurance claims and responsibilities for property damage and loss can be challenging. Legal disputes often arise from ambiguities in repair responsibilities or differing interpretations of the Florida Condominium Act (Florida Statute 718.111). In such scenarios, having legal representation is invaluable.
Partnering with our knowledgeable Florida attorneys can provide crucial support and guidance. The Morgan Law Group specializes in business litigation and insurance law, adeptly handling insurance claims and condo/HOA disputes concerning property loss responsibilities between condo owners and associations. We can help safeguard your property rights and ensure adherence to all legal obligations.
To know more about how we can help you determine liability for property loss, contact us today to schedule your free case evaluation.
