Learn how deadline extensions and low-interest loans may ease costs for condo owners
In a recent Insurance Journal article, Florida Governor Ron DeSantis urged lawmakers to explore relief options for condominium owners ahead of the January 1, 2025, deadline for mandatory inspections and repairs. The deadline, established after the 2021 Surfside condo collapse, requires buildings to undergo structural inspections by engineers to determine necessary repairs. Many condo owners and associations, already facing rising insurance premiums, have expressed concerns about the financial burden these new requirements will impose.
Related resource:
Florida Condominiums will be required to obtain Structural Integrity Reserve Study
During a news conference, DeSantis suggested a special legislative session to address these issues before the deadline. Potential solutions include extending the deadline or offering low-interest loans to condo owners and associations. While Senate President Kathleen Passidomo has resisted the idea of a special session, DeSantis emphasized the situation’s urgency, noting that it cannot wait until the 2025 legislative session.
One option under discussion is for condo associations to form captive insurance companies, which could help reduce costs. However, John Cadden, highlighted that this solution would require significant capital, which many associations currently lack. “People are trying to solve this problem. They’re trying to figure it out,” Cadden said while noting the financial challenges involved.
Though no changes to property insurance laws have been proposed, the issue remains a pressing concern for Florida’s condo owners.
Read the Insurance Journal article here
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