Laserfiche WebLink
assessed against the Units affected. The Association may, in the case of a claim for <br /> damage to a Unit or Units, (i) pay the deductible amount as a Common Expense, <br /> (ii) assess the deductible amount against the Units affected in any reasonable manner, <br /> or (iii) require the Owners of the Units affected to pay the deductible amount directly. <br /> 11.3 Loss Payee, Insurance Trustee. All insurance coverage maintained by the <br /> Association shall be written in the name of, and the proceeds thereof shall be payable <br /> to, the Association (or a qualified insurance trustee selected by it) as trustee for the <br /> benefit of the Owners and secured parties, including Eligible Mortgagees, which suffer <br /> loss. The Association, or any insurance trustee selected by it, shall have exclusive <br /> authority to negotiate, settle and collect upon any claims or losses under any insurance <br /> policy maintained by the Association. <br /> 11.4 Required Policy Provisions. All policies of property insurance carried by <br /> the Association shall provide that: <br /> a. Each Owner and secured party is an insured Person under the policy with <br /> respect to liability arising out of the Owner's interest in the Common <br /> Elements or membership in the Association. <br /> b. The insurer waives its right to subrogation under the policy against any <br /> Owner and against the Association and members of the Board. <br /> C. No act or omission by any Owner or secured party, unless acting within <br /> the scope of authority on behalf of the Association, shall void the policy or <br /> be a condition to recovery under the policy. <br /> d. If at the time of a loss under the policy there is other insurance in the <br /> name of an Owner covering the same property covered by the policy, the <br /> Association's policy is primary insurance. <br /> 11.5 Cancellation; Notice of Loss. All policies of property insurance and <br /> comprehensive liability insurance maintained by the Association shall provide that the <br /> policies shall not be cancelled or substantially modified, for any reason, without at least <br /> thirty (30) days' prior written notice to the Association, all of the insureds and all Eligible <br /> Mortgagees. <br /> 11.6 Restoration in Lieu of Cash Settlement. All policies of property insurance <br /> maintained by the Association shall provide that, despite any provisions giving the <br /> insurer the right to elect to restore damage in lieu of a cash settlement, such option shall <br /> not be exercisable (i) without the prior written approval of the Association (or any <br /> Insurance Trustee) or (ii) when in conflict with provisions of any insurance trust <br /> agreement to which the Association may be a party, or any requirement of law. <br /> 11.7 No Contribution. All policies of insurance maintained by the Association <br /> shall be the primary insurance where there is other insurance in the name of the Owner <br /> covering the same property, and may not be brought into contribution with any <br /> insurance purchased by Owners or their Eligible Mortgagees. <br /> 19 <br />