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09-28-2005 Council Agenda
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09-28-2005 Council Agenda
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directors, officers, managers, trustees, employees, or persons responsible <br />for handling funds belonging to or administered by the Association if <br />deemed to be advisable by the Board or required by the regulations of the <br />FHA or FNMA as a precondition to the purchase or financing of a <br />mortgage. The fidelity bond or insurance shall name the Association as <br />the named insured and shall, if required by the regulations of the FHA or <br />FNMA as a precondition to their insuring, purchasing or financing of a <br />mortgage, be written in an amount equal to the greater of (i) the estimated <br />maximum of Association funds, including reserves, in the custody of the <br />Association or management agent at any given time while the bond is <br />force or (ii) a sum equal to three months aggregate assessments plus <br />reserves. An appropriate endorsement to the policy to cover any persons <br />who serve without compensation shall be added if the policy would not <br />otherwise cover volunteers, or a waiver of defense based upon the <br />exclusion of persons serving without compensation shall be added. <br />(d) Workers' Compensation insurance as required by law. <br />(e) Directors and officers liability insurance with such reasonable limits and <br />coverages as the Board shall determine from time to time. <br />(f) Such other insurance as the Board may determine from time to time to be <br />in the best interests of this Association of Owners. <br />Section 2. Premiums; Improvements; Deductibles. All insurance <br />premiums shall be assessed and paid as a Common Expense. <br />Section 3. Loss Payee; Insurance Trustee. All insurance coverage <br />maintained by the Association shall be written in the name of, and the proceeds thereof <br />24 <br />- 2 4 - <br />
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