Who will pay for an insurance cost increase at this Ephrata condo? | Local News

An Ephrata Borough condominium association recently saw its property insurance premium soar by more than $73,000, an increase it is passing along to owners of the complex’s 50 units after having to switch to high-risk insurance due to a pipe issue.

Westpointe Ridge Condominium is a collection of townhomes and multi-unit dwellings located on Westpointe Drive between Lake and East Fulton streets less than a quarter-mile from Route 322 (East Main Street). Last summer, homeowners there learned they had to replace water pipes in their units or risk increased fees and possible legal action.

The plastic Quest pipes, also known as polybutylene pipes, are prone to becoming brittle and flaky, which can lead to leaks and can cause the pipes to burst under high pressure, according to Loretta L. Worters of the Insurance Information Institute.  

Because not all unit owners met a deadline imposed by the Westpointe Ridge Condominium Association to replace their pipes, the association had to obtain high-risk property insurance, which led to its premium increasing by 278% from $26,356.60 to $99,638.74.

For Andrew Boyer, the news couldn’t have come at a worst time.

Boyer said he was out of work for most of 2024, and his two-bedroom condo was in foreclosure at one point because he couldn’t pay his mortgage, an issue he has since resolved.

After initially saying he would not replace all the pipes in his unit citing money as his main concern, Boyer said he had his pipes replaced in April. He said he took on overtime work last year and welcomed a roommate to help save for the project.

“I was working 45 to 50 hours a week, and yeah, just saving pretty much everything I could because … I figured I was going to be spending around five to six thousand,” Boyer said.

Boyer ended up paying $4,226 for the work.

Special assessment

All unit owners were notified at least five times from July 2024 through this past March that they had to replace the Quest pipes in their units, according to a letter obtained by LNP | LancasterOnline dated April 4.

The letter is one of two sent to a unit owner in April by RSK Law attorney Aaron S. Marines and noted the unit was one of eight not to have its pipes replaced. The Lancaster County-based law firm represents the condo association.

The April 4 letter states the unit owner is being charged with a special assessment of $9,160.27, which represents their portion of the $73,282.14 hike in the insurance premium divided among the eight unit owners the letter states did not replace their pipes.

“This special assessment was passed by the Board on March 27, 2025,” the letter states, referring to the condo association’s board of directors. “This special assessment is a lien against your Unit starting from that date.”

In a letter from Marines to the same unit owner dated April 8, Marines updates the number of units that did not replace their pipes to six.

“If all six Owners do not replace their Quest piping, they will be assessed the entire amount of the insurance increase, which will be $12,213.69,” Marines wrote. “This also means that, if only one person does not replace his or her piping by April 22, they could receive the entire $73,282.14 as a special assessment against his or her Unit.”

The April 8 letter states the board of directors was giving the six unit owners until April 22 to replace their pipes to avoid being required to pay for the entire amount of the increased insurance premium.

“Please understand that even if all of the six remaining Unit Owners replace their Quest piping, the Association will still need to pay the higher insurance premium,” Marines wrote in the April 8 letter. “If all Unit Owners replace their Quest piping by April 22, everyone’s assessments will be increased to pay for the increased insurance.”

The letter does not include what all unit owners would be required to pay to cover the increased premium.

‘It’s been hard …’

The special assessment charges were removed from all unit owners’ accounts on April 8, according to a letter from Lori Van Gorden to the Pennsylvania Office of Attorney General’s Bureau of Consumer Protection dated May 6.

Van Gorden, president of Horst Property Management, sent the letter to the state agency in reference to a complaint filed by Boyer. Horst Property Management is contracted by the condo association’s board of directors to handle administrative duties.

In a May 21 email, LNP | LancasterOnline asked Van Gorden why the charges were removed, whether the charges have been reevaluated, and how the insurance increase will be paid for.

“All 50 units have had the polybutylene pipes replaced,” Van Gorden replied on May 29. “The Association is actively seeking to place conventional condominium insurance coverage as soon as it can, so the high-risk policy can be eliminated. Costs are assessed in accordance with the governing documents of the condominium association. The matter will be coming to a close very soon.”

When reached by phone on May 28, Marines said that he wanted to speak to Van Gorden before answering a reporter’s question about how the insurance premium would be divided.

If the $73,282.14 increase is split among all 50 unit owners, each would be required to pay $1,465.64.

The ordeal has left Patricia Lundberg fearful that she would lose her condo, according to her daughter Andrea Bodnari.

Bodnari said her 74-year-old mother had to dip into her 401(k) to cover the estimated $4,000 cost of replacing the pipes in her condo. She said Lundberg receives about $1,000 a month from Social Security.

“It’s been hard and challenging to explain that to her … or reassure her that things are going to be OK with her house and the HOA, and that the plumbing’s OK and no one is taking her house,” Bodnari said. “So, we go through that right now … just about every day.”