Townhouses or Similar Associations (Association Risk Only)

What Does GL Code 68500 Cover?

ISO GL class code 68500 covers general liability for townhouses or similar associations, specifically addressing the association's risk rather than individual unit owners. This code applies to the management and maintenance of common areas and shared facilities within residential communities, classifying operations related to the association's responsibilities to its members and guests.

Who Uses This Class Code?

This code is utilized by homeowner associations (HOAs), condominium associations, townhouse associations, and other residential community management entities. It applies to the legal and operational bodies responsible for governing and maintaining shared property within these developments.

Common GL Claims for This Class

Common claims include slip-and-fall incidents in common areas such as clubhouses, sidewalks, or pool decks, and property damage claims arising from the association's negligence in maintaining shared infrastructure, like a leaky roof in a common building.

Coverage Tips for Code 68500

• Ensure your policy includes adequate coverage for common areas like pools, clubhouses, and playgrounds, as these are frequent sources of liability claims.
• Verify that your association's governing documents (CC&Rs) align with your insurance coverage to avoid gaps, especially regarding maintenance responsibilities.
• Regularly conduct property inspections and address hazards promptly to mitigate potential slip-and-fall claims, which are common in shared spaces.
• In Florida, consider specific hurricane deductibles and ensure your policy adequately covers windstorm damage to common elements, as this is a significant exposure.