tract 17
Saturday Prep Overview
Purpose: The Saturday prep sessions are aimed at studying and taking practice exams to prepare students for their upcoming tests.
Resources: A dedicated website for the class where various tracks and resources are available.
Content Updates: Track fifteen and sixteen links are already available; track seventeen will be updated post-session.
Jeopardy Rounds: Information on the first nine rounds and round ten is made available on the website.
Handout Access
The handout provided in the chat is the same as the one on the student dashboard.
Recommendation: If possible, use a PDF editor to annotate notes directly on the handout; otherwise, consider printing the first few outline pages for note-taking during sessions.
Slide Organization: The slides follow the same structure as the handouts, ensuring consistency.
Tonight's Focus: Insurance and Management
Key Topic: The exam includes questions on risk management, which will be discussed extensively during the session.
Supplementary Materials: Additional risk management strategies will be provided based on common questions from the Pearson VUE tests.
Outline of Test Content: The test will cover various topics, including:
Reserves (5 questions)
Risk Management (5 questions)
Facilities Management (less coverage)
Fair Housing, HUD, ADA, and related statutes (10 questions)
Financial management (10 questions)
Examination Strategy: Focus study efforts on sections with the most questions, particularly financial management and risk management.
Importance of Studying Topics
Areas of Emphasis: Students should prioritize studying sections with higher question counts, especially:
Fair Housing (10 questions)
Financial management (10 questions)
Other sections that may have less significance should still be reviewed, albeit with less focus.
Legislative Compliance: Understanding legal requirements and topics required for insurance, such as property insurance minimums and liability coverage.
Insurance Types and Coverage Details
Five Common Types of Insurance for Associations:
Property Policy: Covers repairs and damages to community-owned property.
Commercial General Liability (CGL): Protects against claims of injury on association property (e.g., slip and fall incidents).
Directors and Officers (D&O) Insurance: Safeguards board members and volunteers from personal liability.
Fidelity Policy: Protects against theft and fraud, ensuring that all individuals with access to funds are covered.
Umbrella Policy: Provides additional coverage above other policies to cover excess damages.
Additional Insurance Learning Points
Regulations and Statutes: Familiarize with NRS 116.3113, detailing insurance requirements and coverage needs.
Levels of Property Coverage:
Minimums specified by law must be adhered to regarding property insurance (80% of actual cash value).
Reserve Fund Analysis: Understanding the requirements for reserve funds and coverage adequacy is crucial.
Risks Related to Lack of Coverage: Emphasizing the risks of being underinsured and ensuring sufficient policies are in place to avoid financial stress during claims.
Risk Management Concepts
Risk Identification: Analyzing where potential risks lie within the association.
Treatment and Control of Risks: Developing plans to manage and mitigate risks effectively.
Insurance as Risk Transfer: Understanding the balance between retaining risk and transferring it to insurance providers.
Monitoring and Evaluating Outcomes: Assessing the effectiveness of risk management strategies and making necessary adjustments.
Conclusion
Responsibility: It's crucial that associations adhere strictly to all insurance needs to protect themselves against potential liabilities and financial implications.
Students are encouraged to engage actively in discussions and practice scenarios to fortify their understanding of insurance essentials and management principles.