Protecting what matters to you
Finding the right insurance cover for you and your community is important.
With you as our client, you will have access to a wide range of insurance services through our close partnerships with industry experts CHU Underwriting Agencies (CHU) and Direct Insurance Brokers. These partnerships ensure that you receive the best service available, with competitive premiums, superior claims handling and expert insurance advice. Our affiliation with these insurance experts gives you the buying advantage when it comes to your insurance.
For more information on CHU, visit chu.com.au or contact their Queensland office at (07) 3135 7900.
For more information on Direct Insurance Brokers, visit stratabrokers.com.au or contact their Head Office at (07) 3866 5444.
What does your insurance cover you for?
Unsure about what your policy covers?
Below is a basic overview of types of policy sections and what some of the insurance terminology means.
As defined by legislation, the cover for your building under a strata policy also includes the following:
- Outbuildings – such as a pool house or undercover BBQ area;
- Fixtures and structural improvements – such as fences, paths, gates, retaining walls, awnings, and signs;
- In-ground swimming pools, tennis courts, and spas;
- Marinas, jetties, wharves, docks, pontoons, swimming platforms, or similar type facilities (either fixed or floating);
- Overhead and underground services;
- Floor coverings excluding carpets (fixed and unfixed)
- Satellite dishes, radio, television and other antennas, including their associated wiring, masts, footings, foundations, towers, and moorings.
Common Area Contents
This covers items owned by the body corporate and may include the following:
- Furniture, furnishings, household goods, light fittings, internal blinds, curtains, fire extinguishers, and the like;
- Freestanding appliances like refrigerators, freezers, washing machines and dryers, other electrical items;
- Carpets (fixed or unfixed) and floor rugs;
- Above-ground swimming pools or spas including covers and accessories;
- Wheelchairs, garden equipment including lawn mowers, golf carts, golf buggies or other similar type items but only if the item is not required to be registered.
Air Conditioning Units
Any fixed or mobile air conditioning unit servicing an individual lot in Queensland is the unit owner’s responsibility to insure under their contents policy. Air conditioning units are only covered under the body corporate policy if they are servicing multiple units, such as a ducted system in a high-rise complex.
Any engineered, laminated, veneered, or similar (prefinished) type flooring not fixed or attached to the subfloor, but held in position by its own weight and/or skirting boards at perimeter walls. Because the floor isn’t fixed or glued down, these floors should be covered under the unit owner’s contents policy. Some underwriters offer this cover under a body corporate policy but charge to have it included.
Lot Owners – Fixtures and Improvements
Any accidental loss or damage to any fixture or structural improvement installed by a Lot Owner for their exclusive use and which is permanently attached to or fixed to the property. Sometimes these improvements are not included in the building valuation, so this an important cover to have.
In 2012 the Federal Government and the Insurance Council of Australia introduced a standard definition of flood to insurance contracts:
The definition of flood is: the covering of normally dry land by water that has escaped or been released from the normal confines of:
- any lake or any river, creek or other natural watercourse, whether or not altered or modified; or
- any reservoir, canal or dam.
Not all insurance companies cover floods, so it’s important to check your policy.
As a known even on its own, most policies will specifically exclude this cover.
However, if the storm surge is a result of a cyclone or tsunami, you’ll generally find that your insurer will extend to cover this.
It’s important to check your Product Disclosure Statement (PDS) to confirm exactly what insurance protection you have.
In the event of a catastrophic event such as a cyclone or flood, the cost of labour and materials increases due to “supply and demand”. It’s important you consider whether you need this additional cover, as your current building sum insured may not be enough.
This will cover any personal injury or property damage claims (including plaintiff’s legal costs) brought against the body corporate. Your insurance company will also cover the defence costs, so the body corporate shouldn’t be out of pocket more than the policy excess.
Provides protection against fraudulent misappropriation of Body Corporate funds. Please be aware that most policies require that the loss is discovered within 12 months, otherwise it will be excluded.
Provides compensation for loss of income to a person or their estate when they sustain bodily injury while voluntarily working on behalf of the body corporate. Proof of income and confirmation that they are performing unpaid work is necessary for a claim.
Office Bearers Legal Liability
Protects office bearers and committee members against legal liability to pay compensation for wrongful acts, errors, or omissions in carrying out their duties. This cover is becoming one of the more common requirements under a body corporate policy due to the litigious nature of the Australian legal landscape.
Government Audit Costs, Health and Safety Breaches, and Legal Expenses
Most insurance companies now include these covers as standards under their policies, and they are great to have covered.
- Audit costs will cover you for any professional fees the body corporate incurs in supplying the auditor with the necessary paperwork
- If the body corporate is issued with a breach notice regarding workplace, occupational health, safety or similar legislation, this will cover the appeal expenses up to a certain value
- The legal defence expenses cover pays for the costs of litigation surrounding the misconduct of the body corporate, or dispute with any current former or prospective employee
***Note: Each insurer has a slightly different wording regarding this insurance, so it’s important to read the Product Disclosure Statement (PDS).
Please be advised that the above information should only be used as a guide when researching your insurance.***
Provides protection against unforeseen damage to Body Corporate machinery. Typically, it’s not worth insuring small motors, as the excess is often greater than the repair cost. For larger items such as lift motors, pool motors, standby generators, and large air conditioners, it may be beneficial.
Consider if a maintenance agreement is already in place and what it covers. Also be aware that policies have exclusions for wear, tear, and gradual deterioration.