Florida Community Association Manager Practice Exam

As of January 1, 2009, what does the association's policy cover?

1. Only the exterior of properties

2. Casualty damage to air conditioners and compressors

3. Liability for personal injuries

4. Losses from rental income

The correct answer is: Casualty damage to air conditioners and compressors

The correct response regarding what the association's policy covers as of January 1, 2009, relates specifically to casualty damage to air conditioners and compressors. This is significant because associations often have policies that deal with common property and specific equipment essential for unit functionality. Coverage of such equipment is crucial as these components can be vulnerable to various forms of damage, including weather-related incidents or operational failures. By including air conditioners and compressors in the policy, associations ensure that they can provide necessary repairs or replacements, which is fundamental for maintaining a comfortable living environment for residents. Understanding coverage specifics is vital for community managers to adequately inform homeowners about protection against potential losses that may arise from these essential systems. In contrast, the other options do not represent comprehensive coverage typically included in such policies. For instance, covering only the exterior of properties would exclude the vital components within units. Liability for personal injuries, while an important aspect of an overall policy, is not the primary focus noted in the context of casualty damage. Lastly, losses from rental income pertain more to financial aspects rather than physical asset protection. Thus, focusing on casualty damage to critical components like air conditioners and compressors demonstrates the association's commitment to homeowners' well-being and property functionality.