Homeowners associations can be victims of crimes just like other businesses and private citizens. The HOA insurance market can offer homeowners associations crime insurance to help them protect themselves from financial losses due to crimes. Crime insurance is sometimes called commercial crime insurance and it can cover risks such as theft, destruction, fraud, forgery, extortion, employee dishonesty, or damage to the property of another. This type of insurance is considered a property or fidelity insurance which safeguards the property owned or under the care of the homeowners association. HOA crime insurance may not only cover the financial costs of the crime, but also the legal defense of lawsuits or other legal litigation related to the claim.

In addition to crime insurance, there is an additional type of crime insurance which can meet additional risks. Cyber liability insurance can cover the financial damages of a cyber attack, data hostage situation, and other cyber-crimes against an HOA. Homeowners association crime insurance may not cover crimes committed by the HOA directors or officers or third-party liabilities which happen due to the crime. Some states require homeowners associations to carry crime insurance. An HOA insurance market agent who specializes in HOA crime insurance can help you determine the state requirements and best type of crime insurance coverage for your homeowners association.