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Body Corporate Building Insurance - Didn't know This!!!

Discussion in 'Legal Issues' started by kierank, 3rd Mar, 2016.

  1. kierank

    kierank Well-Known Member

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    Brisbane
    I own a strata titled Unit (in a complex) which I rent out. The Body Corporate has a building insurance policy with Legal Liability/Public Liability cover and 'Lot Owners Fixtures and Improvements' cover.

    I always thought that this policy covered me:
    • for public liability in my unit and the common areas
    • all the items owned by me in the Unit (obviously not the tenant's personal property)
    I have just been informed that this is not true. The Body Corporate's building insurance policy only covers me for Public Liability in the common areas BUT NOT internal to my Unit. The policy does cover fixtures such as benches, cooktops, stoves, sinks, toilets, windows, doors, etc BUT NOT carpets, curtains, blinds, light fittings, etc.

    Is this true?

    If so, one assumes I need to obtain my own policy for Public Liability cover internal to my Unit and chattels such as carpets, curtains, blinds. I would appreciate any recommendations on insurers who provide such policies.

    Thanking you.
     
  2. D.T.

    D.T. Adelaide Property Manager Business Member

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    Of course. That's what landlord insurance is for. The one I use has 30mil legal liability, covers accidental / malicious damage, all the rent related stuff, and defined risks as well such as fire, storm etc.
     
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  3. kierank

    kierank Well-Known Member

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    I have Landlord Insurance but I was under the impression that it only covered all that tenant/rent related stuff. I didn't realise it had cover for defined risks as well such as fire, storm, etc, whether the property was tenanted or vacant.

    I just checked my policy. You are right (not that I doubted you as you are a PM). I have learnt something new today and I will sleep easy tonight :) :).

    Thank-you.
     
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  4. RetireRich101

    RetireRich101 Well-Known Member

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    I am thinking the Body Corporate insurance is just similar to the Building Insurance for a free standing house. As DT suggested, these 'removable fixtures' are mostly not covered under Building insurance by default..

    for example, Comminsure is a tick in the box for option coverage for Malicious damage under Building Insurance, but overall premium goes up if you tick the box. Others insurer cover these under Landlord insurance...
     
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  5. Scott No Mates

    Scott No Mates Well-Known Member

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