HOA Homeowner’s insurance?

Question

We pay insurance on our home with our mortgage each month. We moved to our new home in August. We just received our first bill from the HOA for homeowner’s insurance (not HOA fees), and it’s nearly $1200! It says our home is insured for $320,000, but we were under the impression that the HOA homeowner’s insurance was only for outside coverage. 
Has anyone else experienced this? We weren’t expecting it to be so expensive, and it’s apparently due in less than a week, even though we received the bill today. 🤦‍♀️

Answer

So there’s a lot to unpack here. You said you pay insurance with your mortgage each year. There are different types and purposes for insurance. When you say you pay insurance with your mortgage payment, are you talking about mortgage insurance or homeowners insurance? Another piece of information to be aware of is some HOAs require a specific amount of coverage for homeowners insurance. My HOA personally doesn’t have a required amount. Also, when you say “outside coverage” regarding the HOA homeowners insurance, what does that mean? Do you mean the normal HOA fees that cover maintenance for the common areas? Because that particularly wouldn’t need insurance. You’re already paying for that in your fees. With my HOA, they advertised a homeowners insurance policy, but you didn’t have to use it nor did they automatically enroll you in it. Some HOAs might require you use their specific homeowners insurance though. 
End of the story is you need to call and clarify this with the HOA. Make sure you know their requirements for this. If you already have a homeowners insurance policy with a separate entity, you may need to provide them with this information.

Answer

Sounds like your $1200 bill is for your home owners insurance (HO-3 if you are living in a house or HO-6 if you own a condo or townhouse). Both of these cover “walls in”, meaning it’s insuring the inside of your home like if you have a flooded washer that ruined the floor, if you got robbed and stuff was stolen, etc. HO-3 also usually covers events outside, like if someone tripped and fell on your uneven driveway.
Is this bill for the entire year? 
I own a townhouse and my HO-6 insurance is $717 for the entire year and my home is being insured for $525,000 (it doesn’t include earth quake insurance though, we live in Los Angeles). I have a policy with Mercury Insurance. Maybe look into them and it could be cheaper than what you have.

Answer

Call the HOA office. Do you have to provide them proof of coverage from your own carrier?

HOA Homeowner’s insurance?

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