Raising HOA Fees Due to Rising Insurance Rates

Insurance rates are on the rise across the country. It is best to explain this to homeowners as the reason for the rise in HOA dues at your budget meeting. Since HOAs are required to carry insurance, increasing HOA dues is the solution to meeting this requirement. Follow the requirement for calculating dues according to your governing documents. Usually, this means adding it to the annual budget and dividing the expenses among all homeowners. Some HOAs, though, divide the expenses depending on a percentage or the size of units.