Case Study: Western Auto Lofts
Five days after Copaken Brooks took over the management of the Western Auto Lofts, a break in the dedicated property fire line caused water damage to two of the three buildings on the property. The line break was located 75 feet away from the property line and under a city boulevard. The claim was immediately submitted to the insurance carrier but was subsequently denied because the policy did not extend coverage beyond the building property lines.
Working quickly, Copaken Brooks mobilized experienced service providers to immediately excavate and repair the fire line, as well as mitigate the water damage. The team also determined that the repair and mitigation costs should be the responsibility of the insurance carrier, not the HOA. Upon receipt of the claim denial letter, the Copaken Brooks Property Management team repeatedly contacted the carrier to understand its denial of the claim.
Using our leverage in the property and casualty insurance markets, Copaken Brooks conducted a comprehensive insurance policy audit, which showed that the property was severely under-insured by nearly $10 million and critical components of the building were excluded from the coverage.
Copaken Brooks successfully negotiated a settlement by demonstrating that the water damage claim should be covered by the insurance carrier. This expertise, research and “Owner’s mentality” helped us ultimately save the property more than $70,000 in total repair and mitigation costs.
The Copaken Brooks condo management team partnered with an experienced insurance broker to secure market-rate carrier proposals for all lines of coverage required by the HOA. Through the negotiations, Copaken Brooks successfully secured the recommended increased coverage level for the building (an additional $10 million in coverage), as well as included previously excluded building coverages, with a nominal increase in the annual premium.
“I’m very impressed with the Copaken Brooks team. They demonstrated their value early on and within the first 90 days they had already recovered fees and savings in excess of the annual management fee.”
– Deli Borel, Western Auto Lofts Condominium Association