Managing an insurance claim notice in a condominium

Filing the claim: timing and content

The claim notice must go to the insurer as soon as the property manager becomes aware of the damage, not once repairs are finished or the amount is quantified. Policy conditions almost always set a short deadline, typically just a few days from the event or its discovery: missing it can jeopardize the payout even when the damage is real and well documented.

The notice should include the date and dynamics of the event, which common part was affected, any damage to private units or third parties, and the first useful contacts (the property manager, or whoever, tenant or caretaker, first noticed the damage). A brief but timely notice is better than a detailed but late one: missing details can be added over the following days.

The property manager files the claim on behalf of the condominium as its legal representative for common parts, but must promptly inform the owners' assembly, or at least the owners most directly affected, especially when the damage also involves private units.

Documents to gather before the loss adjuster's visit

Gathering this documentation before the loss adjuster schedules the site visit shortens the assessment: the adjuster works with what is available, and any missing element turns into a follow-up request that can add weeks to the process.

• Photographs of the damage taken immediately, before any emergency intervention
• A technical report if a professional intervened to secure the area
• Quotes or invoices for any urgent work already carried out
• A floor plan identifying the common part affected (roof, riser pipe, shared electrical system)
• A list of any private units affected, with the names of the owners involved
• A copy of the current policy and its relevant coverage schedule

The loss adjuster's assessment and quantifying the damage

The adjuster appointed by the insurer inspects the site, verifies the reported dynamics, measures the extent of the damage and drafts a report with the payable amount. It is advisable for the property manager, or a trusted technical consultant of the condominium, to attend the inspection to represent the building's interests and observations, especially when the damage involves several units with different liability positions.

If the condominium disagrees with the assessment, it can appoint its own independent expert: most building policies include a contradictory expert procedure for disputes over the amount, with a third arbitrating expert if the two assessments still diverge.

Deductible and cost allocation among owners

The deductible is the portion of the loss that remains with the condominium regardless of the amount the insurer pays out: it must be budgeted or approved as an extraordinary expense if not already covered by reserve funds.

The deductible and any uncovered amounts are allocated using the same criteria that apply to maintenance of the damaged common part: general ownership shares for a roof or facade, specific shares for systems serving only part of the building, usage-based criteria when the damage affects stairs or an elevator. The assembly must be informed of the assessment outcome and formally approve the allocation: a notice from the property manager alone is not enough.

When the damage has also affected private units, it is useful to keep the payout for the common parts separate from any amount recognized to individual owners, to avoid confusion in the annual accounting presented to owners.

Reporting the outcome to the owners

Once the payout is received, the property manager must report to the assembly, or in writing if no assembly is scheduled soon, on the amount recognized, the deductible applied, the work carried out and any residual cost left to the owners. A timely, well documented report, with all the claim's paperwork attached, significantly reduces disputes when the annual financial statement is approved.

Managing a claim with dedicated software such as AmministraPro helps keep the notice, documents, owner communications and cost allocation together in one place, with deadlines and attachments tracked in one record: a real help when policy timelines are tight and the paperwork to preserve is extensive.

Frequently asked questions