Condo Insurance Deductible Payment Required Before Repair Work is Completed

A.S. from Massachusetts writes:

Dear Mister Condo,

Hi! The condominium’s insurance is covering the repairs to my kitchen after a flood in the upstairs unit resulted in my kitchen being taken down to the studs. The work has not yet been completed, but they have already billed me for their deducible and are pressing hard for payment now. My preference is to wait until it is finished given that one of the cabinets does not open due to their design, the paint is incomplete, and the appliances have not been hooked up.

Mister Condo replies:

A.S., I appreciate you wanting to make sure the repairs are made to your liking before the job is finished but you are not the one who negotiated with the contractor to do the work. You are bound by whatever terms the insurance company negotiated with the contractor. You certainly have a right to speak to your insurance company about those terms but if they agreed to pay for the work upfront, so did you! Actually, you are not paying for the work as much as you are paying for your deductible. It may feel you are paying for the work because the work is being done inside your unit. The reality is that the insurer is paying for the work and you are just paying your share by covering the deductible. The good news is that the association had insurance in place to cover these repairs and you are getting a lot of new materials installed that should add value to your home. My advice is to pay the deductible as asked and reserve action against the association if the work is not performed as required. Good luck!