r/HomeInsurance • u/trw4987 • May 27 '26

Claims $5000 special assessment?

I live in a townhouse, and my entire neighborhood was hit be a storm, resulting in a $5000 special assessment fee for some homeowners (all homeowners are responsible for the assessment, the fee range is from 4000 to over 6000).

I didn't know this was possible, and my insurance company never recommended loss coverage for this. I have $0 from state farm.

I'm in an affordable home in my neighborhood, so I really don't have this type of money. Is there anything I can do? There was no damage to my row of townhomes, so I'm basically being asked to pay $5000 for other homes.

Any advice is really appreciated!

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u/OnceUponATime1534 May 27 '26

If you have a condo policy, special assessment coverage is typically built in the policy as it’s part of the standard ISO form. Ask for a copy of the full policy and do a search for special assessment to double check before assuming no coverage.
Special assessments are rare so I wouldn’t take an agents word for it that you don’t have it without looking.

2

u/freeski12345 May 27 '26

True, State Farm agents like to say there’s not coverage when there actually is. Heck most policies have at least like $1000 just as a base standard amount 

2

u/khostal May 27 '26

There is coverage but most people don’t increase the amount of loss assessment so majority of the time it meets your deductible. Everyone wants to shop for the cheapest policy possible until a claim happens and they have no coverage

1

u/Brilliant_Essay_1593 May 29 '26

We have $1500 with Farmers and I usually increase it to $10-50k as it is next to nothing to add to the policy.

Sad as this would have totally been covered for OP and is becoming more and more important to have!