June 24, 2026 marks the fifth anniversary of the tragic collapse of Champlain Towers South in Surfside, Florida. Like many Floridians, I remember exactly where I was when I first heard the news. The loss of 98 lives was heartbreaking, and the event sent shockwaves throughout the condominium industry that continue to be felt today.
As an insurance professional specializing exclusively in condominium and homeowners associations, I have witnessed firsthand how Surfside changed not only the way buildings are inspected and maintained, but also how insurers evaluate risk and how boards approach their fiduciary responsibilities.
The Impact of Surfside on the Condominium Landscape
Five years later, it is clear that Surfside fundamentally reshaped Florida’s condominium landscape. Some of those changes have been positive and long overdue. Others have created significant financial challenges for associations and unit owners. The reality is that both can be true.
Prior to Surfside, many condominium associations operated under a maintenance philosophy that could best be described as “defer and delay.” Reserve funding was often waived or partially funded, major repair projects were postponed, and difficult conversations about aging infrastructure were frequently pushed into the future.
While many communities were responsibly managed, Surfside exposed a broader issue that existed throughout Florida’s aging condominium stock: critical maintenance projects were often being delayed because boards were attempting to keep assessments affordable.
The Surfside tragedy changed that conversation overnight.
A New Level of Transparency for Associations and Underwriters
Today, milestone inspections, structural integrity reserve studies, and mandatory reserve funding have created a level of transparency that did not previously exist. Associations now have a clearer understanding of their buildings’ physical condition and the financial resources necessary to maintain them.
From an insurance perspective, this has been a significant positive development.
Underwriters today have access to more information than ever before. Engineering reports, reserve studies, inspection findings, and capital improvement plans provide insurers with valuable insight into how a building is being maintained. Associations that proactively address maintenance concerns are often viewed more favorably than those that continue to defer critical repairs.
In many ways, Surfside forced condominium communities to confront issues that had been accumulating for decades. However, those improvements have come with a cost.
With Improvements Come Financial Implications
The financial impact on condominium owners has been substantial. Across Florida, associations have faced special assessments, increased reserve contributions, engineering expenses, and major capital improvement projects. At the same time, they have also been dealing with one of the most challenging insurance markets in recent memory.
Although Surfside was not the sole cause of Florida’s insurance crisis, it undoubtedly contributed to increased underwriting scrutiny within the condominium sector. Carriers began asking more detailed questions about building age, deferred maintenance, structural reports, concrete restoration projects, and reserve funding practices.
The timing coincided with a period already marked by rising reinsurance costs, litigation pressures, inflation, and increasing catastrophe losses. The result was a perfect storm that led to significant premium increases for many condominium associations between 2021 and 2024.
As insurance professionals, we found ourselves spending more time than ever helping boards understand why premiums were increasing and what underwriters were looking for during the renewal process.
