---
title: "Check association insurance against the volunteer-director minimums"
url: "https://ailawframework.com/practice/strata-and-community-titles/prepare-the-scheme-s-insurance-and-valuation-compliance-report/united-states"
type: "task_jurisdiction_version"
site: "AI Law Framework"
id: "A47-X20260927-5-US"
practice_area: "Strata & Community Titles"
tier: "yellow"
lawyer_review: "required"
jurisdictions: ["US"]
last_reviewed: "2026-10-22"
---

# Check association insurance against the volunteer-director minimums

> Compare the policies the lawyer supplies with the two minimums in § 5800, and flag a missing cover or a short limit. Do not prepare a valuation.

Canonical page: https://ailawframework.com/practice/strata-and-community-titles/prepare-the-scheme-s-insurance-and-valuation-compliance-report/united-states  
Last reviewed: 2026-10-22

Site index for agents: https://ailawframework.com/llms.txt

## Key facts

| Fact | Value |
| --- | --- |
| Practice area | [Strata & Community Titles](https://ailawframework.com/practice/strata-and-community-titles.md) |
| Human involvement | Yellow: Lawyer and AI draft together |
| How AI is used | Compare the policies the lawyer supplies with the two minimums in § 5800, and flag a missing cover or a short limit. Do not prepare a valuation. |
| What the lawyer must review | California Civil Code § 5800 limits the personal liability of a volunteer officer or director, above the stated insurance, for a tortious act or omission, only if the act was within association duties, in good faith, and not willful, wanton, or grossly negligent, and the association had in effect general liability cover and individual liability cover for negligent acts of officers and directors. The minimum is at least $500,000 if the development has 100 or fewer separate interests, and at least $1,000,000 if it has more than 100. The section applies only to a volunteer who is a residential tenant or who owns no more than two separate interests, all residential. A declarant, or a person compensated as an employee of the declarant or of a foreclosing lender, is not a volunteer. Payment of actual expenses does not remove volunteer status. The section does not limit the association's own liability. You decide whether the person and the policies meet the section. There is no valuation cycle in this section. Do not invent one. This is California. |
| Written for | United States |
| Applies to | [Prepare the scheme's insurance and valuation compliance report](https://ailawframework.com/practice/strata-and-community-titles/prepare-the-scheme-s-insurance-and-valuation-compliance-report.md) |

## Checking plan

- What the AI does: Compare the policies the lawyer supplies with the two minimums in § 5800, and flag a missing cover or a short limit. Do not prepare a valuation.
- Basis: Checked against the linked sources on 22 October 2026. Confirm the current instrument before reliance.

## Notes

- This section is a personal-liability limit for volunteers. It is not a property valuation.
- Other states set their own insurance minimums.

## Sources

- [California Civil Code § 5800 (volunteer officer and director liability)](https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?lawCode=CIV&sectionNum=5800) (checked 2026-10-22)
- [ABA Formal Opinion 512, Generative Artificial Intelligence Tools (29 July 2024)](https://www.americanbar.org/content/dam/aba/administrative/professional_responsibility/ethics-opinions/aba-formal-opinion-512.pdf) (checked 2026-10-22)

## Forms and precedents for this task

| Form or precedent | Kind | AI level | Summary |
| --- | --- | --- | --- |
| [Victorian owners corporation insurance minimums](https://ailawframework.com/precedents/strata-and-community-titles/vic-insurance-minimums.md) | Checklist | Yellow | Checklist of the minimum reinstatement and public liability insurance Consumer Affairs Victoria states for an owners corporation, including the two-lot and multi-storey cases. |
| [Queensland body corporate compulsory insurance](https://ailawframework.com/precedents/strata-and-community-titles/qld-compulsory-insurance.md) | Checklist | Yellow | Checklist of the compulsory insurance the Queensland Government page states for a body corporate, including public risk of at least $10 million. |

Signed-in accounts can read the full text of each one.

*Practice guidance for planning and review. Confirm current primary sources and the requirements of the actual matter. This is general information, not legal advice.*