Serving on a condo board comes with a long to-do list, and let’s be honest, “risk management” is rarely anyone’s favorite task. But with aging buildings, rising insurance premiums, and changing legislation not going away, like it or not, condo association risk management needs attention now.
Consider a familiar scenario: a resident reports a small leak under a sink or near a window. It doesn’t seem urgent, so it gets logged but not immediately addressed. Without proper follow-up or documentation, that minor issue worsens as water seeps into walls, damages ceilings, and affects neighboring units. By the time repairs begin, the problem is no longer small.
When an insurance claim is filed, the focus quickly shifts from the damage itself to the board’s response. What was reported? How quickly did the board act? And what records exist to show responsible decision-making?
Risk management isn’t just about having insurance. It’s about paying attention, documenting decisions, and fixing small issues before they turn into big problems. The right systems, like BuildingLink, can make that work far more manageable and far less stressful.
Here are seven practical ways condo boards can reduce risk and protect their communities.
Every condo community has risk. The difference between a minor issue and a major claim often comes down to timing.
Common trouble spots include:
Regular risk assessments catch these issues early. BuildingLink’s maintenance solution helps by keeping vendor records, maintenance requests, and preventive maintenance tasks in one place, so patterns don’t go unnoticed and problems don’t fall through the cracks.
Inspection reports are meant to reduce risk, but only if boards actually use them.
Reserve studies, engineering reports, and fire or elevator inspections often identify issues that could affect safety or insurance coverage. The real risk comes when those recommendations are ignored or forgotten.
Using BuildingLink, boards can store inspection reports, assign follow-up tasks, and track progress. That way, when insurers or attorneys ask what was done, the answers are easy to find.
Most claims don’t start as disasters. They begin as small, fixable issues that linger too long.
Simple steps, such as repairing trip hazards, improving lighting, or addressing water intrusion promptly, can dramatically reduce liability. Documentation matters just as much as the repair itself.
BuildingLink’s preventive maintenance solution helps boards show they acted responsibly by recording when issues were reported, how quickly they were addressed, and what was done. That paper trail can make a real difference if a claim ever arises.
Insurance isn’t the only way to limit exposure. Smart boards also focus on reducing risk through everyday operations.
That includes:
BuildingLink helps by keeping vendor insurance certificates organized and up to date, so the association isn’t exposed due to missing or expired documents.
According to a 2025 study by the Foundation for Community Association Research, insurance premiums increased for 91% of community associations. With premiums continuing to climb, it’s tempting to shop for the lowest number. But cheaper coverage often means higher risk.
Review policies carefully, look at coverage limits, exclusions, and deductibles, not just cost. Having past policies and renewal documents easily accessible also helps boards understand what’s changed year over year.
BuildingLink gives boards one secure place to store policies, broker communications, and renewal history, making insurance reviews less confusing and more productive.
Many board members are surprised to learn the number of claims involving issues rather than physical damage.
That’s why understanding key policies is so important:
BuildingLink strengthens D&O protection by centralizing these records, making it easier to show that decisions were thoughtful, consistent, and documented.
Risk management is most effective when it’s proactive.
When significant projects, new amenities, or changes in state regulations occur, it is essential to undertake a risk and insurance analysis and continue to do so on an ongoing basis. For a condo association board, a tool like BuildingLink can keep you on track through reminders, organize all documentation, and provide easy access to records.
Condo association risk management is all about paying attention to the small stuff and keeping stellar records. Boards that show prudent decision-making and follow-through are much better off in risk management, both in terms of transferring liability and financial management.
BuildingLink helps condo boards centralize information, reduce risk, and stay ahead of issues before they become claims. Request a demo to see how BuildingLink simplifies condo association risk management.