Strata insurance New South Wales

Frequently asked questions

• Does Flex strata insurance cover regional NSW?

  Does Flex strata insurance cover regional NSW?

  Yes definitely. Flex strata insurance covers more than just Sydney. Across New South Wales, we're able to provide insurance to owners corporations in major cities and regional centres including:

  • Newcastle
  • Central Coast
  • Wollongong
  • Maitland
  • Blue Mountains
  • Tweed Heads
  • Coffs Harbour
  • Wagga Wagga
  • Albury
  • Port Macquarie        
• Is strata insurance compulsory in NSW?

  Is strata insurance compulsory in NSW?

  In New South Wales, sections 160, 161 and 164 of the Strata Schemes Management Act 2015, require the owners corporation to take out strata insurance to cover:

  1. The repair or replacement of the building and common property in the event of damage
  2. Public liability claims for personal injury or personal property damage that happens in connection with the strata’s common property
  3. Workers’ compensation claims

  Owners corporations can also take out optional cover to include such things as theft and fraud, machinery breakdown or committee indemnity.

• Who is responsible for strata insurance?

  Who is responsible for strata insurance?

  The owners corporation of a strata title scheme is responsible for taking out strata insurance. In practical terms, this means it’s usually the management committee that purchases from the insurance company or via a broker or strata manager on behalf of the corporation, however members of the owners corporation (i.e. the unit owners) have the right to inspect the policy, check that it is adequate, and that it represents value for money.

• Does residential strata insurance cover the building?

  Does residential strata insurance cover the building?

  Strata insurance covers the owners corporation for the cost of repairing or replacing the building's infrastructure, such as the walls and windows, stairwells and fire exits, common lobbies and facilities, lighting, security systems and even areas which aren't accessible to all residents such as individual balconies and managers' offices.

• Does residential strata insurance cover the whole title?

  Does residential strata insurance cover the whole title?

  Owners corporations take out strata insurance to cover the areas of the property that are owned jointly by the lot owners. These include common areas around and within the building such as driveways, carparks, garages and sheds. These items are defined in the NSW strata title. Outdoor areas such as landscaping and gardens can be included but may have set limits. Some items such as machinery may need to be specifically listed on the policy to ensure they are covered, if they are not standard items.

• What is the difference between strata insurance and home insurance?

  What is the difference between strata insurance and home insurance?

  Strata insurance and home insurance are designed for different types of property ownership and thus cover distinct aspects:

  • Strata Insurance: This type of insurance primarily covers the building and common areas of a property that is part of a strata scheme—such as condominiums, townhouses, or any multi-unit complex. Strata insurance typically includes coverage for shared or "common property" elements like roofs, lifts, pools, and car parks. It also usually encompasses public liability insurance to protect against claims of personal injury or property damage occurring within common areas.
  • Home Insurance: Home insurance, also known as homeowners insurance, is intended for individual homeowners. It covers the private residence and the owner's personal belongings inside it. This insurance can protect against a range of risks including fire, theft, and natural disasters. It also usually includes liability coverage for injuries or damages that occur on the private property.

  In summary, the key difference is that strata insurance is meant for communal property and shared risks in multi-unit living environments. Home insurance covers individual, private properties and the belongings within them.