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Don't rely on bad advice on skipping earthquake insurance
Don't rely on bad advice on skipping earthquake insurance

Question: I'm on the board at our common interest development with about twelve townhouse units. We're built on bedrock, so the management company says the attorney said we don't need homeowner association earthquake insurance. And if something ever did happen, well, he says, "That's what FEMA is for." I'm not certain how this works. What's FEMA going to do for us? Answer: Your association buildings may be built on bedrock but your board's reasoning is stuck in the sand. The board's duty is to manage the association prudently. That means making decisions based on reasonable business judgment, using common sense informed by a level of...

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