No matter how careful we are, accidents happen – a tree damages your roof in a storm, and a visitor falls and breaks his ankle in your driveway.
Are you responsible for the clean up costs if you are a strata owner and your roof (or driveway!) belongs to the entire building? Your strata insurance nsw should cover you for this.
How does strata insurance work?
The common property of a strata title property is covered by strata title insurance. This could include areas such as car parks, shared driveways, roofs, exterior and interior walls, lifts, and other facilities shared by the two buildings. There are exceptions to this policy if you upgrade your unit – we’ll cover those in a later article. The contract also covers the fixed parts of your apartment, like kitchens and bathrooms.
Public liability is also covered under strata insurance for residents working on-site and visitors. You should have strata insurance coverage if your building’s owners’ corporation decides to paint the exterior and an accident occurs.
You should have strata insurance if you own strata property. We don’t tell you that, it’s in the Units Title Management Act of 2011. Strata fees are included as part of your strata fee and the cost of insurance is split between the owners.
Strata, building, and contents insurance: What’s the difference?
Insuring structures that remain in place is part of building insurance. Building insurance applies to free-standing houses as well. The same is true for garages and granny flats. It is unlikely that you will need to obtain building insurance in addition to strata insurance if you own strata property.
The contents of your unit are covered by contents insurance, including furniture, clothes, electronics, artwork and anything that can be picked up and removed. You should consider having contents insurance if you live in a strata unit, just as you would if you lived in a freestanding home.
Additionally, you should verify the coverage of your strata insurance.
It is also possible that if you built a new air conditioner, a built-in wardrobe or a new kitchen into your already existing apartment, that you wouldn’t be covered by strata insurance either. “Ask the strata management in your building to get more information on what the plan covers.” However, if the plan does not cover these items, you will probably need to make sure your contents cover will fill a gap.”
Strata insurance claims commonly covered
In a strata insurance policy, the coverage is usually defined as being broad-based. It is important to note that even though your strata insurance policy will not specify what is covered (as your car or contents policy might), it will explain the exclusions of your policy, i.e., what is not covered.
What is not covered by my strata insurance?
Usually, insurance companies deny claims that arise from known defects, such as leaky roofs due to poor workmanship. The insurance company responds that it should not be required to pay for something that is already damaged. In order to keep your building in good condition, it is vital that you keep a close eye on its condition and solve any problems as soon as possible.”
Strata insurance also does not cover things generally covered by contents insurance, so you are not covered for things such as furniture and appliances that were not there before you moved in.
Can the strata policy be claimed by anyone?
In this situation, what would happen if you sprung a leak from the hot water unit?
The first thing you should do is contact the strata manager. “Because we know the policy from top to bottom, we’ll be able to let you know whether or not the situation is covered. We can often keep premiums low by paying for repairs out of pocket so that the owners corporation does not have to pay for them.
It is the owners’ corporation’s responsibility to pay the building insurance excess unless the duty is transferred to the unit owner in a regulation made under section 100 (3(a)).
In this situation, some executive committees may make the request that damages be paid directly by the homeowners’ association rather than through their insurance company. The owners corporation cannot, however, block a claim made by a member.