Typical strata insurance covers all the common property as defined on the strata property title as well as the fabric of the building itself. The building fabric includes walls, roof, plumbing and wiring, balconies and windows, floor and ceiling structures, stairwells, cellars and sewerage connections.
Shared assets on a property can include entrance lobbies, common gardens and swimming pools, lifts, fences, carparks or carports.
Strata insurance also covers liability for injuries to people who visit the property, or damage sustained to their own property due to negligence.
What’s not included in strata cover?
As a general rule, strata insurance stops at the front door of each unit. That means, personal items inside the apartment, such as clothing, furniture and household appliances, would need to be covered by a contents or landlord policy.
Unless automatically required by state law, it is possible to add on to standard strata coverage by including optional extras such as workers and volunteer compensation, catastrophe cover, machinery and motors, office bearer liability, audit fees, owners’ improvements and fidelity guarantee.