Residential Strata Insurance. Done Right.

Strata insurance is a mandatory policy that protects the building structure, common property, and shared fixtures within a strata-titled development. It ensures financial protection for owners by covering major risks such as fire, storm, impact damage, and public liability incidents that occur on common property. It is a legal requirement under state legislation, including the Strata Titles Act 1985 (WA).

The strata company or owners corporation must arrange the insurance on behalf of all owners. Premiums are paid collectively through strata levies. Owners cannot typically obtain their own building policy for the main structure but may vote on cover levels, insurers, and optional extensions during general meetings.

No. Strata insurance covers the building structure and common areas. You’ll need separate contents insurance for your personal belongings inside the unit.

Common area contents refer to items owned by the owners corporation and located in shared spaces. These include foyer carpets, hallway décor, shared laundry appliances, gym equipment, or outdoor furniture. Personal items owned by residents or stored in common areas are not covered by the strata policy.

Premiums differ based on many factors, including building age and construction materials, replacement cost, claims history, geographical risks such as storms or bushfires, and assets like lifts or pools that increase exposure. The level of excess and optional cover selected by owners also impacts annual premiums.

Most brokers and insurers recommend at least $20 million in public liability cover for strata schemes. This protects the owners corporation if someone is injured or property is damaged on common property. Some high-risk or high‑traffic schemes may require higher limits.

Yes. Regular building reinstatement valuations—often every five years—ensure the sum insured accurately reflects rebuilding costs. Underinsurance can result in significant financial losses during a major claim, making regular valuations essential for compliance and risk management.

Owners are generally responsible for internal maintenance, including issues such as mould, water leaks caused by internal fixtures, and deterioration of internal finishes. Strata insurance only covers shared structural elements or damage arising from common property faults.

In many strata schemes, the external structure including ceilings, roof, and external walls is common property. Internal surfaces (paint, plasterboard, tiles, flooring) typically belong to the lot owner. However, ownership can vary depending on the strata plan and boundaries, so reviewing your plan is recommended.

A strata insurance broker provides expert guidance, tailored advice, and access to specialist insurers. They help ensure appropriate cover is selected and reduce the risk of underinsurance or gaps.

Brokers assess the building’s unique risks, construction type, values, safety features, and claims history. This ensures the policy reflects the true exposure of the building and complies with legislative requirements.

Yes. Brokers can approach multiple insurers, including specialist strata markets unavailable directly to the public. This increases competitiveness and policy suitability.

Brokers stay informed on state legislation, mandatory cover requirements, valuation obligations, and disclosure rules. This helps owners corporations remain compliant and avoid penalties or uncovered losses.

During a claim, brokers liaise with insurers, assessors, and loss adjusters, assist with documentation, and negotiate on behalf of the owners corporation. This advocacy is invaluable during major or complex claims.

Brokers manage renewals, review sums insured, compare quotes, and negotiate terms. This saves committees and managers time while helping maintain sustainable long-term insurance costs.

Yes. Brokers are required to act in the best interests of the owners corporation. They provide independent and transparent recommendations rather than being tied to a single insurer.

Using a strata broker ensures your strata scheme is correctly insured, compliant, competitively priced, and supported during claims. For complex or higher-risk schemes, a broker is essential for proper protection.