Who Hires the Contractor Paid for with Association Insurance?

K.G. from New Haven County writes:

Dear Mister Condo,

I had interior damage from ice dams not taken care of by the condo association. The association filed a claim and was paid. They are now saying that I have to allow them to repair the inside damage and that I cannot get my own contractors and them pay me the claim monies from my unit? Can they do that?

Mister Condo replies:

K.G., I am sorry you experienced a loss from ice dams. What you have described to me is exactly how the insurance claim and repair should be handled. The association took responsibility for the damage. The association’s insurance has agreed to cover the damage and made good on the claim. This was not your insurance and this is not your money. This is the association’s money and the association’s insurance. The contractor works for the association so, yes, they will select the contractors who will perform the work, even though the work is being done in the interior of your unit. That’s how association insurance works. Any of your own personal belongings that were damaged may be covered under your homeowner’s policy. If you filed a claim and you received an insurance payment because of it, that money is yours to go and replace your lost or damaged items. I am glad that the association had adequate insurance to cover your damage. All the best!