Real Property - Condominiums - Responsibility for Property Insurance Deductibles

HB 636 increases the maximum deductible amount a unit owner must pay for insurance when damage originates from their unit - from $10,000 to $20,000. It directly affects unit owners whose units caused damage and condominium associations (councils of unit owners), requiring associations to notify owners annually about their deductible responsibility. If the deductible exceeds $20,000, the excess becomes a common expense paid by all owners. The bill applies to all condominium insurance policies issued on or after October 1, 2025, and amends Maryland’s Real Property code to clarify insurance cost responsibilities.