Understanding Strata Insurance: What Does It Cover?
Strata insurance is a key component of owning property within a strata scheme. Unlike personal home insurance, which covers your contents and personal property, strata insurance typically covers the building itself and shared common areas. This includes structural elements like the roof and walls, as well as shared amenities such as pools, gyms, and gardens.
What Does Strata Insurance Cover?
Building Repairs and Replacement: Strata insurance usually covers the cost of repairing or rebuilding the structure in case of damage caused by events like fires, storms, or vandalism. This could also include fixtures in individual units, such as structural additions and plumbing, depending on the policy specifics.
Common Property: This type of insurance covers all shared spaces within a strata scheme, such as gardens, lobbies, hallways, elevators, and recreational facilities. It ensures that any damages to these areas are repaired without additional costs to individual owners.
Liability Coverage: Strata insurance provides liability protection for injuries or damages that occur on common property. If a guest slips and falls in the building’s lobby, the insurance would cover any legal or medical costs that arise.
Legal Expenses: Some strata insurance policies cover legal costs if the owners’ corporation needs to defend itself in a lawsuit or pursue legal action related to the strata property.
Why You Need Strata Insurance
Without proper strata insurance, the financial burden of unexpected repairs or legal issues could fall directly on the owners. It's essential to ensure your strata scheme has adequate coverage to protect everyone's investment and peace of mind.
How QT Strata Can Help
At QT Strata, we work with your strata scheme to ensure your property is protected by a comprehensive insurance policy. While we do not specialise in providing insurance advice, we can assist in navigating the administrative aspects to ensure that your building and common property are adequately covered.
Please note, we always recommend referring to your policy's Product Disclosure Statement for specific details. If you have any questions, feel free to put them in writing so we can liaise with your insurer to get the answers you need.
Curious if your strata scheme has the right insurance? Contact QT Strata today to discuss your coverage needs!