What makes community associations a major target for fraud? To start with, it may be the misconception that only big businesses suffer from embezzlement or fraudulent practices. And when you factor in the self-managing nature of communities—and that neighbors typically trust neighbors—when money is stolen or mismanaged, it can lead to serious repercussions for everyone in the association.
In our white paper on community association fraud, we delve into the common types of community association crime. This downloadable resource can be shared with insureds to help educate them on the risks that community associations, in particular, face.
We also feature a claim story out of San Diego that details a small housing association that was victim to more than $120,000 in losses over a year and a half. It can happen, and when it does, the cleanup isn’t pretty.
Most importantly, we offer a white paper with tips to prevent community association fraud. From establishing transparency to protecting investments, these useful tools will help housing associations avoid the major losses that can occur with fraud. By focusing on education, training, and diversifying responsibility, these safeguards can go a long way to protect the community and all of its members.