For community associations, summer means more gatherings. Roof decks, courtyards, pool areas, and common spaces get used more than any other time of year. Unfortunately, it also means more accidents.
When someone gets hurt, it’s not just a claim. It doesn’t matter who was actually at fault. It’s a lawsuit, and everyone gets named. The building, the unit owner, the managing agent, and any vendor involved typically all end up in the case. The questions that then arise are: who is legally responsible, and whose insurance responds?
Here’s how it usually plays out:
- The Building / Board
If the injury involves a common area condition, the building is almost always the first target. For example, a slip on a wet roof deck or a trip due to uneven pavement.
In these cases, the general liability policy is expected to respond. Carriers immediately look at maintenance, inspections, and prior complaints. If there’s any hint the condition wasn’t properly addressed, expect a fight.
- The Unit Owner or Resident Hosting
If a resident is hosting a party and their actions contributed to the injury, they can absolutely be pulled into the claim. For example, if a guest is overserved and causes an injury or damage to someone else’s property, or if a condition inside the unit contributes to the loss. Even though it’s in a building, this often shifts to the unit owner’s HO6 Homeowners liability coverage
- The Property Manager
Even if the manager had nothing to do with the incident, they’re almost always named. Why? Because they are an easy target with perceived control over the property.
Coverage here greatly depends on the management agreement, so property managers are going to want to make sure they have solid agreements with their association to defend and indemnify them for these types of claims.
- Contractors or Vendors
If there’s any chance a vendor created the condition, they’re getting brought in too. For example, if a cleaning company left a surface unsafe, or a contractor installed something improperly.
This is where risk transfer either works or completely falls apart:
- Additional insured status
- Primary/non-contributory wording
- Indemnification language
If those pieces aren’t right, the claim comes right back to the building.
- Why These Claims Spiral So Quickly
Summer losses can be more complicated because there are more people on the property. This means more parties to witness any incidents and provide conflicting stories.
At the same time, liability exposure increases during the summer due to outdoor gatherings, pools, and recreational activities. Once the claim starts, everyone tenders to everyone, carriers argue over who is primary, and defense costs pile up fast.
Key Takeaway for Boards and Managers
You cannot prevent every accident, but you can control how exposed you are when it happens.
With the summer season in full swing:
- Inspect and document common areas regularly
- Make sure liability limits are adequate (umbrella coverage matters here)
- Confirm property manager and vendor insurance is structured properly
- Understand that being named in a lawsuit is the norm, not the exception
Reach out to us with questions anytime, and download our free Summer Survival Kit for Community Associations here.
