Commercial Strata Insurance provides cover for commercial buildings registered on a Strata Title.
Commercial Strata is common for blocks of commercial units in industrial, commercial, retail and office areas. A Strata Title enables many occupants and owners to occupy a single block of land. The Buildings and common areas are insured by the Body Corporate; who are responsible to ensure the building is repaired or replaced in the event of a loss.
Insurance is based on the Construction, Age, Condition, Fire Protection, Security, Maintenance and occupancy of the units. As the occupation of the lots or units can vary considerably, the risk to the Insurer will vary according the type of business conducted in the buildings. The overall mix of occupants will determine the premium and terms.
There are a number of tailored packages which include some or all of the following features.
Building Replacement & Reinstatement
Provides cover for the buildings, roadways, fencing, fixtures, fittings and any other improvements of a structural nature in Common Property areas.
Covers the legal liability of the Body Corporate. This does not include cover for liability of the unit owner, except where liability relates to the Insured property or common contents.
Covers Furniture, Equipment, Appliances, Fittings and Works of Art (separate declaration may be required) in common area’s.
Personal Accident for Voluntary Workers
Provides compensation to any person who voluntarily works on behalf of the Body Corporate.
Loss of Rent and/or Alternative Accommodation
If a unit becomes uninhabitable as a result of a claimable event, the unit owner can claim loss of rent to either maintain their income stream, or to be able to rent elsewhere whilst repairs are taking place.
Protects the Body Corporate against fraudulent embezzlement or fraudulent misappropriation of their funds and tangible assets.
Committee members can be personally responsible for decisions they make on behalf of the Body Corporate. Office Bearers Liability protects committee members when liability has arisen from an alleged or wrongful act, omission or breach of duty.
Provides cover for damage to machinery caused by electrical or mechanical breakdown. This is an optional cover and extra premium will apply.
Provides an additional sum following a large loss (such as an earthquake, bushfire, tsunami or cyclone) when a state of emergency is declared. Some insurers provide an automatic increase (e.g. 15% of building sum insured), while others will charge a premium to increase by a selected percentage (e.g. 15% – 30%).
Tenants (or individual unit owners) are responsible for insurance on their own contents or fixtures & fittings not forming part of the Unit. The may include mezzanine floors, floor coverings, abandoned fitouts and the like.