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HomeMy WebLinkAbout0458 (3) Workmen's Compensation. Workmen's compensation insurance shall be carried to meet the requirements of the law. (4) Other. The Board of Directors may obtain such other insurance as it shall reasonably determine from time to time to be desirable. C. Waiver. When appropriate and possible, the nolicies shall provide that the insurer shall waive the following: (1) Subrogation against the Association and against the Unit Owners individually and as a group. (2) Any pro rata claim or right that reserves to the insurer the right to pay only a fraction of any loss if other insurance carriers have issued covereage upon the same risk; and (3) Avoidance of liability'for a losG that i~ caused by an act of the Board of Directors of the Association o~ by one or more Unit Owners. D. Premiums. Premiums upon insurance policies purchased by the Association shall be paid by the Association as a Common Expense~ except that the amount of increase in the premium occasioned by use for other than a residence, or misuse, occcupancy or abandonment of a unit or its appurtenances or of the Common Elements by a Unit Owner shall be assessed against and paid by that Owner. E. Insurance Trustee; Proceeds. ~s ,~x~ (1) All insurance policies purchased by the Association shall be for the benefit of the Association an~ the Unit Owners and their mortgagees as the respective interests appear, and shall provide that all proceeds covering a nronerty loss in excess of $10,000.00 shall be paid to the Insurance Trustee, who shall be a bank in Florida with trust powers and shall be designated as the Insurance Trustee by the Board of Directors of the Association. The Insurance Trustee shall not be liable for payment of premiums nor .for the renewal or sufficiency of policies nor for the failure to collect any insurance proceeds. The duty of the Insurance Trustee shall be to receive and hold the insurance proceeds and other funds that are paid to it in trust for the purposes elsewhere stated in thi~ instrument and for the benefit of the 1~nit . Owners and their mortgagees in the following shares~ but which shares need not be set fortri on the records of the Insurance Trustee: (a) An undivided share for each tTnit Owner, that share being the same as thg undivided share of the Common Elements which that Unit.Owner owns, appurtenant to his Unit. (b) In the event a mortgagee endorsement of an insurance policy has bee~ issued as,to a[)nit and this mortgagee interest has been registered with the Association, the share of the Unit Owner in such proceeds shall be held in trust for the mortgagee and Unit ~wner as their interests may appear; provided, however~ that no mortga~ee shall have any right to determine or participate in the determination as to whether or not any damaged property shall be reconstructed or repaired, and no mort~agee shall have any right to apply or have applied to the reduction of a mortgage debt any insurance proceeds except distributions of proceeds made to the Unit Owner and mortgagee. - 21- s~: ~~ 31~9 rac~ 459 ~ - ~__~