Property Owners & Strata Insurances
Commercial Strata Insurance is designed to protect the specific insurance needs of strata title properties. Properties of this nature have specific insurance requirements that may not be catered for under standard home insurances.
- Optional fidelity guarantee
- Office bearers’ liability
- Personal accident cover
- Choice of liability cover
- Cover for loss of rent
- Cover for damage and theft by tenants
- Temporary accommodation for owner-occupiers
- Catastrophe cover
Average or Co-Insurance?
It’s Important to get the Sum insured correct
Some policies contain an Average clause. This means that if you insure for less than the full value of the property, your claim may be reduced in proportion to the amount of the under-insurance. These clauses are also called “Co-Insurance” clauses.
A simple example is as follows:
Full (Replacement) Value – $1,000,000
Sum Insured – $500,000
Therefore, you would be self-insured for 50% of the Full Value
Amount of Claim, say $ 100,000
Amount payable by Insurers as a result of the a of Average/Co-Insurance (i.e.: 50%) $50,000