A general meeting resolution is the legal form of an insurance decision – and often its last obstacle: a good quote, a supportive mood, and then it turns out on the spot that there is nothing to put to the vote. A finished, well-drafted resolution prevents exactly that. This article explains the elements of the sample; the wording you can adopt word for word is among the Resources.
- A good draft resolution is specific (what, with whom, with what content), executable (who acts) and timed (from when).
- Its typical elements: the subject of the decision, identification of the chosen quote, the mandate given to the property manager, the start date and the source of funding.
- The rules for adopting it – quorum, voting majority – are set by the building's own organisational and operational rules (SZMSZ) and its deed of foundation: the sample must be adjusted to them.
Why do you need the wording written out?
Because “we agreed that we are switching” is not a resolution. Wording on paper secures three things: the owners know exactly what they are voting on; an unarguable text goes into the minutes; and execution – taking out the policy, giving notice, signing – rests on a clear mandate. With the insurer, and in any dispute, it is the text of the resolution that will count, not anyone's memory.
The elements of the sample – and why exactly these
The subject of the decision: what the building does – takes out insurance, switches an existing policy, extends cover. Identification of the quote: an unambiguous reference to the selected offer (by its number in the comparison table or by the date of the quote) – the insurer's name may of course appear in the resolution; on this site my own canon means I do not name insurers, while in the building's own papers the specific quote runs under its specific name. The substantive cornerstones: sum insured, main covers, deductible, annual premium ceiling – so that the mandate is not open-ended. The mandate: who acts on behalf of the building (typically the property manager), and exactly how far it reaches – signing, giving notice, providing data. Timing and funding: from when, and from which budget the premium is paid (typically the common charges).
The legal frame: the job of the house rules
How a resolution is adopted – who convenes the general meeting, when it has a quorum, what voting majority is needed – is settled not by the sample but by the building's own founding documents and by Act CXXXIII of 2003 (the Hungarian Condominium Act). That is why the procedural parts of the template must always be adjusted to the SZMSZ of the particular building; in case of doubt the building's lawyer is the right reviewer. My role is the substantive side: making sure the resolution is accurate in insurance terms and can actually be carried out. The two together make for a safe decision – which is also what the article on the house rules is about.
Common mistakes in resolutions
Four recurring stumbles: the open-ended mandate (“the manager should sort out the insurance” – with no substantive limits); missing identification (it never becomes clear which quote was decided on); no timing at all (with a switch, the notice deadline slips away); and orality (a decision was taken, but no text exists). The same thing guards against all four: a finished draft sent out with the notice – as the article on preparation shows.
A question about your own building? Book a free 20-minute consultation →
