Emergencies are unavoidable. No matter how diligent your management team is, events may occur that are entirely out of your control. Natural disasters, maintenance issues, and even upset tenants can wreak havoc on your property. What you can control, however, is how you deal with these types of situations.
At RowCal, we know how critical it is that you maintain the ability to correct these situations. Before disaster strikes, you must proactively determine how to deal with it. Below are a few tips to help get you started.
Assess Your Financial Situation
Perhaps the number one determinant of your ability to respond to emergencies is the financial health of your association. You should have enough funds set aside to deal with:
● Severe weather damage
● Unexpected maintenance issues
● Tenant-inflicted damage
● Damages not covered by your insurance policy
A reserve study is a critical budget planning tool that allows you to identify the state of your reserve fund. By performing a reserve study, you can determine how you should allocate funds so that you may respond effectively to unexpected situations. Your property management company can assist you with this process and help you determine how to distribute funding appropriately.
Review Your Insurance Policy
To ensure you have adequate insurance coverage, you should always conduct an annual review of your policy. Be aware of your deductible and review which occurrences your policy covers. Many standard insurance policies do not cover losses resulting from floods, and may even exclude sewer backups or sump pump failures. If your policy does not pay for damages from such events, you will need to purchase additional coverage to avoid paying out of pocket.
Determine Your Preferred Contractors
In the event of an emergency, you need to know who you can trust to fix the issue. Whether it’s storm damage or major electrical outages, you will require general contracting services who will respond promptly. Your property management company should have a list of preferred vendors that they will contact in such situations. These companies are thoroughly vetted and have demonstrated professional, high-quality work. You should always know ahead of time who you will entrust with your repairs. Without a plan in place, you could fall victim to shoddy workmanship, or worse, an expensive scam artist.
Prepare for Emergencies With RowCal
You need an emergency preparedness plan, and RowCal is here to help you develop it. As an HOA management company, we specialize in financial administration, consulting services, and maintenance and project management. We are dedicated to improving your community’s experience by resolving issues promptly and efficiently with your financials in mind. To learn more about our property management services, contact us at 651-233-1307, or you can message us on our contact page.