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Who pays the insurance excess on a burst pipe?

This is a very popular question that often highlights opposing views and differing interpretations of policy wording. Whether the pipes are on common property or within the section, a burst pipe will be covered by the body corporate’s insurance policy as long as it is sudden and unforeseen damage, not wear and tear. The law | Read More

Who is covered by fidelity guarantee insurance?

Following the amendment to community scheme property legislation, most community schemes have now complied with the requirement for appropriate fidelity guarantee insurance. Specialist community scheme property insurers have presented CSOS compliant fidelity insurance to meet the new requirements in conjunction with accepted insurance industry cover offerings. In recent policy wording updates, one of the leading | Read More

Professional indemnity insurance: Who is responsible to ensure that your scheme is protected?

Professional indemnity insurance cover is issued to provide insurance cover for a service provider in case their clients suffer financial loss, injury or property damage resulting from the negligent act, error or omission of the service provider while working for their client. Trustees’ responsibility While a community scheme does not need this kind of insurance, | Read More

Dealing with damages to security gates in community schemes

In a recent social media discussion, the question was raised regarding how the scheme should deal with a situation where a third party accidentally causes damage to common property like a security gate. There are two aspects to consider here: Damage to gate caused by a third-party vehicle (caused by driver, damage to gate) = | Read More

Why cheaper isn’t always better

Generally, we all want insurance that offers the widest (most) cover for the lowest premium but there are a number of other important factors to consider, particularly in the sectional title environment. Potential pitfalls Firstly, there is the matter of policy management. In the sectional title environment, claims ratios should not ordinarily exceed 60% over | Read More