Water leaks occur on a regular basis.
Accidents happen. A water hose coming lose from the clothes washer or a leaky pipe are just two sources of water leaks. A contractor’s mistake during a home renovation project can be another, potentially more serious, water problem.
Water problems can come from any number of unexpected sources. In a condo water leaks may come from the sprinkler head knocked off the sprinkler system while moving furniture.
Insurance is purchased to protect from financial loss when the unexpected occurs. Yet there are those who choose not to purchase insurance. What is the worst that can happen?
That sprinkler head knocked off the sprinkler system happened to one condo owner. It turned into a flood. She had to leave her home that night. Condo suites below were also flooded and those owners were forced to move out. It took many months to repair all the condo suites before residents could return home.
The condo owner who caused the problem assumed the condo corporation would cover all repair costs plus her relocation expenses. Relocation expenses were not paid by the condo corporation. In fact, the condo corporation sought recovery of all losses not covered by their insurance policy.
Condo owners choosing not to purchase insurance to protect themselves and their personal property put themselves at risk when the unexpected happens.