March 2022 | Goodwin & Company

What is Workers’ Compensation Insurance?

You are legally required to keep your association a safe place for volunteer and employment purposes. However, accidents happen, and when they do, your association could easily be held liable.

If a board member, volunteer, or vendor is injured while performing any HOA duties your association’s finances and reputation are at stake if the injured person pursues a lawsuit. Workers’ comp essentially serves as security insurance that stops lawsuits in their tracks and prevents your association from paying compensation to injured parties out of its annual budget.

Why Would an Association Need Workers’ Comp Insurance?

Although an HOA isn’t the total standard business that has full-time employees performing its daily duties, it’s still recommended that a responsible association invests in a reliable workers’ compensation insurance plan.

Let’s get into why.

Not All Would-Be Vendors Are Honest

Just because a vendor says they are insured and provides “proof” of insurance, doesn’t mean their coverage is in effect.

Therefore, if something were to happen to a vendor that injured them on the job, your association would be held liable. Workers’ comp insurance helps your association avoid any legal troubles and serves as protection against any vendors that attempt to pull the insurance wool over your board’s eyes.

Workers’ Comp Covers Board Members and Volunteers

The community members that bring an association together are mainly a collective of local volunteers. If someone were to get injured while carrying out any association tasks, your workers’ comp insurance would ensure their medical/financial needs are met and that your association is thoroughly covered.

How Much Coverage Does an Association Need?

While there really isn’t a general average for coverage, it’s safe to say that the amount of coverage necessary depends on the size of the association and the level of work required to maintain it.

Your association management team can help your Board make an educated decision about how much workers comp coverage your organization needs. Keep in mind that if you are working with an association management company, that organization’s workers’ compensation coverage does not apply to your HOA in the event that something goes wrong.

Cover Your Association’s Insurance Needs With Goodwin & Company

If you have questions about the different types of insurance your association needs for security, the team at Goodwin & Company can help! We have experienced association management professionals that can give your Board the assistance it needs to create a successful and pleasant association for its members.

Noisy neighbors don’t typically make for a happy association. Even though you may have noise ordinances in place, there is always the possibility of an owner or their tenant slipping up and disturbing the peace of those around them.

As association board members, you want to ensure every violation in your HOA is handled with organization, patience, and neutrality. Here’s a closer look at what you can do to reduce noise complaints within your community.

Make Sure Your Rules Are for a Specific Audience

There are always federal, state, and even city-wide noise ordinances in place. When establishing your own noise bylaws, it’s important to take these rules into account.

Some federal and city noise regulations may not be well-established for residential use and could leave your community open for noise violations that make it through legal loopholes.

Even after you’ve studied federal noise regulation and established your community noise ordinances, it’s essential that you ensure your rules clearly apply to the residents that live within your community.

Remind Members About Your Noise Guidelines

Some members of the community may not even be aware that their level of noise is breaking your community guidelines. Before jumping straight into fines and other regulatory action, it’s only polite to approach the neighbor with a gentle reminder of your association’s noise bylaws.

If your board’s verbal request goes ignored, make the request in writing as the next official step towards HOA board resolution. From there, if the noise violations continue, fines and further HOA action will be necessary from your Board.

Prepare to Mediate When Necessary

As board members, it’s your responsibility to ensure that all homeowner disputes are resolved with peace and fairness. If a noise issue between neighbors goes far enough that a civil suit begins to loom, your Board must be prepared to serve as a forum for mediation that helps owners avoid a lengthy and costly lawsuit.

Your HOA management team can help you prepare to serve as a neutral party that guides neighbors at odds through the alternative dispute resolution process that typically results in the common ground without legal consequences.

Remind Owners That Tenants Are Their Responsibility

If you have owners that rent out their property, they aren’t off the hook for noise complaints their tenants bring in. As owners of the home, they are likely going to be the first ones that receive notice of the noise violation.

It’s then their responsibility to address the issue with their renter and get to the bottom of the incident. If it results in a one-time occurrence, the problem is solved. However, if your tenant continues to create repeat noise complaints, not only are you liable for any fines or other action, but it may be time to start looking for a more reliable tenant.

Settle Your HOA Noise Ordinances With the Help of Goodwin & Company

If you are a board member for your association and know that you need help getting noise ordinances and regulatory actions in place, it’s time to turn to a trusted association manager for help.

At Goodwin & Company, we have experience working with and improving the inner workings of associations large and small. We bring a unique management approach and perspective to every community we serve and know we can help make a difference with yours.