Authors: Phil Masi Negar Sharifi
Community gates help control access, improve security and create a safer environment for residents. However, they can also become the source of one of the most common incidents community associations face.
The scenario is familiar. A driver enters a community, follows another vehicle too closely or attempts to pass through before the gate fully closes. Moments later, the gate arm comes down and damages the vehicle. The driver believes the association is responsible. The association may see the situation differently.
Who pays for the damage? The answer depends on the circumstances surrounding the incident and what the available evidence shows.
Start with the facts
When a gate-related incident occurs, the first step is understanding what happened. This is where video footage can be invaluable.
Associations should consider maintaining cameras at all entrance and exit points, particularly in gated communities. Video evidence often provides the clearest picture of an incident and can help boards and managers make informed decisions when concerns are reported. Without documentation, determining what contributed to the event can become significantly more difficult.
Clear signage can help reduce claims
Clear instructions for entering and exiting the community can help reduce incidents and disputes. Depending on the gate system, associations may post guidance such as:
- One vehicle at a time
- Don't follow another vehicle through the gate
- Wait for the gate to fully open before proceeding
- Allow the gate to close completely before the next vehicle enters
While signage alone may not eliminate every issue, it can reinforce safe driving practices and establish clear expectations for residents, guests and vendors using the community entrance.
When an equipment issue may have contributed
If the evidence shows the gate malfunctioned, the association may need to address the resulting vehicle damage. In many cases, gate-related mechanical issues aren't isolated incidents. A malfunctioning sensor or other operational problem may affect multiple drivers until the issue is repaired.
When this happens, boards and managers should:
- Investigate the cause of the incident
- Review maintenance and service records
- Determine whether similar complaints have occurred
- Obtain repair estimates for the damaged vehicle
Important considerations before resolving a claim
Before making payment, associations should work with legal counsel to obtain documentation confirming the matter has been fully resolved. This helps ensure that once compensation is provided, the matter is fully resolved and the association is protected from future claims related to the same incident.
A documented settlement can help protect against disputes involving additional property damage allegations or potential injury claims that may be raised later.
When driver error causes the damage
Not every gate claim results from a malfunction. Video footage often reveals situations where drivers:
- Follow another vehicle too closely
- Attempt to enter before the gate has fully opened
- Try to "beat" a closing gate
- Ignore posted instructions
In these cases, the association may determine whether the driver, not the community, caused the incident. If the investigation finds no indication the gate system malfunctioned or that association operations contributed to the incident, the vehicle owner may be responsible for addressing the damage through their own auto insurance coverage.
In some situations, the opposite may even be true. If a driver's actions damage the gate or related equipment, the association may seek reimbursement for its repair costs.
Not every claim should become an insurance claim
When an association believes it bears some responsibility for a loss, filing an insurance claim may seem like the obvious solution. However, boards should also consider the long-term impact of repeated claims on their insurance program.
Multiple gate-related claims over a short period may affect an association's loss history, potentially influencing future underwriting decisions and premium costs.
For smaller incidents that fall below or near the policy deductible, resolving the matter directly may sometimes be more practical than submitting a claim. This doesn't mean associations should avoid filing legitimate claims. Rather, boards should evaluate each situation carefully and consider both the immediate cost and potential long-term implications.
