Mamoth sinkholes cost the state of Florida millions of dollars in structural damage annually. Insurance is also needed for each structure in the area as dictated by law. Every management company has to abide by this law to protect their property based on the statement of Aaron Swiren, a real estate lawyer from Orlando.
However, the Orlando attorney also said that the costs covering for damages from sinkholes could end up not being covered at all. He also said in his statement to the media that if the costs are not covered by insurance providers, it will be passed on to timeshare owners. "It'll ultimately be them," Swiren said. "If there's a big assessment, their dues may go up to cover it," he continued.
Beth Frady, one of the spokespersons for the Department of Business and Professional Regulation, told the media that the agency's records point to Summer Bay being insured. Frady said, it has "a line item in their reserves for disaster recovery. If the owners of the timeshare decide to rebuild, if permitted, they may be subject to a special assessment to cover any reconstruction costs not covered by the insurance policy and/or the association's reserves."
Boo Hyu Nam, an engineer and a professor at the University of Central Florida is currently developing a model that will predict the occurrence of sinkholes in the area. The professor said this might be possible by monitoring the fluctuation of groundwater.
The sinkhole in the area where Summer Bay Resort used to stand is dubbed by scholars as a "cover collapse" type of sinkhole. This indicates that there is a presence of a large cavern underneath. "It is very dangerous stuff," Nam told reporters. "It can be a minute or a couple of hours. The best thing anyone can do is avoid the sinkhole altogether."
Sinkholes have also been documented in Tampa Bay where 36-year-old Jeff Bush was literally swallowed by the earth.
© 2017 Jobs & Hire All rights reserved. Do not reproduce without permission.
