Strata Insurance Brokers for Body Corporates and Owners Corporations
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GET A STRATA QUOTE
Complete the form to request a QUOTE. Call us at 1300 900 207 for an immediate response.
Please note we are unable to assist with stand-alone Liability for common property
What Is Strata Insurance?
Strata insurance is a specialised form of building insurance designed for properties divided into individually owned lots, apartments, townhouses, units, and mixed-use buildings that share common areas and infrastructure. The policy is arranged by and in the name of the body corporate or owners corporation, and it covers the common property and building structure on behalf of all lot owners collectively.
Unlike standard home and contents insurance, strata insurance does not cover a lot owner’s personal belongings or private contents within their individual lot. It covers what is collectively owned and shared: the building fabric, communal areas, shared systems, and the legal liabilities attached to managing those spaces.
The specific terminology differs by state, Body Corporate in Queensland, Owners Corporation in New South Wales and Victoria, Strata Company in Western Australia, but the underlying insurance obligation is consistent nationally.
Your Specialist Strata Insurance Brokers
Strata insurance protects the building, common property, and shared infrastructure of any scheme operating under a strata title, and in every Australian state and territory, it’s a legal requirement. Getting the level of cover right matters. An underinsured building or a missed coverage item can leave a body corporate committee seriously exposed when a claim arises.
Coverscope’s qualified brokers have been arranging strata insurance for over 25 years. As a Steadfast member broker, we have access to exclusive products and insurer relationships not available through retail channels, giving your scheme more options and better cover.
Is Strata Insurance Compulsory in Australia?
Yes. Strata insurance is compulsory in every Australian state and territory under the relevant strata titles legislation. Every scheme operating under a strata title structure is legally required to hold, at a minimum, building reinstatement insurance and public liability cover.
The minimum public liability requirements and specific mandatory inclusions vary by jurisdiction:
| State / Territory | Governing Entity | Min. Public Liability | |
|---|---|---|---|
| New South Wales | Owners Corporation | $20 million | |
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Legislation
Strata Schemes Management Act 2015
Minimum Public Liability
$20 million
Notable Requirements
Voluntary workers insurance is mandatory in NSW. When a strata manager arranges insurance on behalf of the owners corporation, three quotes are required under the legislation.
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| Queensland | Body Corporate | $10 million | |
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Legislation
Body Corporate and Community Management Act 1997
Minimum Public Liability
$10 million
Notable Requirements
Cyclone-prone postcodes in Queensland are eligible for the Australian Reinsurance Pool Corporation (ARPC) Cyclone Reinsurance Pool. Building format plan vs standard format plan distinctions affect what the body corporate is required to insure.
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| Victoria | Owners Corporation | $20 million | |
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Legislation
Owners Corporations Act 2006 (amended 2021)
Minimum Public Liability
$20 million
Notable Requirements
Victoria uses a five-tier scheme classification system introduced by the 2021 amendments, which affects mandatory insurance obligations based on scheme size and type. "Reinstatement and replacement insurance" is the statutory term used in Victorian legislation.
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| Western Australia | Strata Company | $10 million | |
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Legislation
Strata Titles Act 1985 (amended 2018)
Minimum Public Liability
$10 million
Notable Requirements
Western Australian legislation specifically excludes flood, sea damage, and erosion from mandatory insurance requirements — a distinction not found in other states. The governing body is known as the "Council of Owners" and the insuring entity is a "Strata Company."
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| South Australia | Strata Corporation | $10 million | |
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Legislation
Strata Titles Act 1988 / Community Titles Act 1996
Minimum Public Liability
$10 million
Notable Requirements
South Australia is the only state in Australia where fidelity guarantee insurance is a mandatory component of strata insurance. This requirement does not exist under any other state's strata legislation.
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| Australian Capital Territory | Owners Corporation | $10 million | |
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Legislation
Unit Titles (Management) Act 2011
Minimum Public Liability
$10 million
Notable Requirements
The ACT distinguishes between Class A units (where the owners corporation insures the unit itself) and Class B units (where the lot owner is responsible for their own unit insurance). This distinction significantly affects the scope of the strata policy.
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| Tasmania | Body Corporate | $10 million | |
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Legislation
Strata Titles Act 1998
Minimum Public Liability
$10 million
Notable Requirements
Standard strata insurance obligations apply. The body corporate is responsible for arranging building insurance and public liability cover for common property under the Strata Titles Act 1998.
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| Northern Territory | Body Corporate | $10 million | |
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Legislation
Unit Title Schemes Act 2009
Minimum Public Liability
$10 million
Notable Requirements
Cyclone risk is the primary concern for NT strata schemes. Eligible properties may access the Australian Reinsurance Pool Corporation (ARPC) Cyclone Reinsurance Pool. Schemes in Darwin and surrounding areas require careful attention to cyclone-specific policy terms and sum insured adequacy.
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Insurance requirements are governed by state and territory legislation and are subject to change. Speak with a qualified insurance broker to confirm your scheme's obligations. Coverscope Pty Ltd (AR 1304953) is an Authorised Representative of Metrix Connect Pty Ltd (AFSL 525491).
Who We Work With
Coverscope arranges strata insurance for a broad range of schemes and clients across Australia:
- Owners corporations and body corporate committees, covering residential and mixed-use strata schemes of all sizes, from two-lot duplexes to large high-rise complexes
- Strata managers who require access to competitive markets and reliable broker support at renewal
- Self-managed strata committees, where the committee manages the insurance process directly without an appointed strata manager
- Property investors with strata units who need to understand how the scheme’s strata policy interacts with their own landlord insurance obligations
- Commercial strata owners including office buildings, retail complexes, and industrial strata with more complex liability and asset profiles
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What Does Strata Insurance Cover?
A strata insurance policy arranged through Coverscope can provide cover for a broad range of building and liability risks. The specific inclusions depend on the insurer, the policy wording, and the nature of your scheme, which is why working with a broker who knows the market matters.
Building and Common Property
Cover can be provided for physical loss or damage to the building and common property caused by a defined insured event, including fire, storm, flood, lightning, earthquake, explosion, impact damage, theft, vandalism, escape of liquid, and accidental damage.
The building sum insured should reflect the full reinstatement and replacement value of the structure, not the market value or purchase price. Getting this figure right is one of the most important decisions a body corporate committee makes.
Public Liability
Public Liability Insurance can provide cover for the body corporate’s legal liability for personal injury or property damage suffered by third parties on common property, including visitors, tradespeople, delivery personnel, and guests of lot owners. The standard minimum under most strata policies is $20 million.
For larger, higher-traffic buildings or schemes with commercial lots, assessing whether the standard limit is sufficient is a conversation worth having with our brokers.
Loss of Rent or Temporary Accommodation
If a lot within the scheme becomes uninhabitable due to an insured event such as a fire, major storm damage, or a burst water main, this cover can provide for loss of rent to an owner-investor or temporary accommodation costs for an owner-occupier.
The coverage period and limit will depend on the policy. Our brokers can help confirm what applies under your specific wording at renewal.
Office Bearers' Liability
Committee members of a body corporate or owners’ corporation take on genuine legal responsibilities. If an allegation of a wrongful act, error, or omission arises in the management of the scheme, Office Bearers’ Liability Insurance can provide cover for defence costs and any damages awarded.
This is distinct from public liability. It protects the individual decision-makers on the committee, not the building itself.
Fidelity Guarantee
Fidelity Guarantee Insurance can provide cover for fraudulent misappropriation of funds by an officer of the body corporate or an appointed manager. In plain terms, if someone with authority over the scheme’s finances acts dishonestly, this cover responds.
In South Australia, fidelity guarantee insurance is a mandatory component of strata insurance, a requirement that does not exist in any other state. It is strongly recommended for all other schemes where a manager or committee has access to scheme funds.
Machinery Breakdown
Modern strata complexes depend on shared mechanical and electrical systems to function. Cover for machinery breakdown can provide protection for the cost of repairing or replacing failed equipment, including lifts, HVAC systems, fire pumps, electric gates, switchboards, pool pumps and building management systems.
Without this cover, an unexpected breakdown can result in significant, unbudgeted repair costs falling directly on the levy fund.
Voluntary Workers
An unpaid committee member who suffers a personal injury while carrying out work on behalf of the scheme may not be covered under a standard workers’ compensation policy because they are not a paid employee. Voluntary Workers Insurance can provide cover for that scenario.
This cover extends protection to unpaid volunteers acting on behalf of the body corporate. In New South Wales, voluntary workers’ insurance is a mandatory component of strata insurance.
Government Audit Costs and Legal Expenses
Cover may be available for the reasonable costs incurred in responding to a government audit of the scheme’s financial records, or legal expenses arising from specific disputes covered under the policy wording.
The availability and scope of this cover vary by policy. Our qualified brokers can confirm what is included under your scheme’s specific wording.
Catastrophe Cover
Following a declared natural disaster, rebuilding costs often surge due to increased demand for materials and trades. Catastrophe Cover provides an additional sum insured above the building’s standard limit, specifically for use following a declared catastrophe event.
This cover helps protect the scheme against underinsurance at precisely the time the risk is highest, when costs are elevated, and supply is under pressure.
Lot Owners' Improvements
When a lot owner has made privately funded improvements such as renovated bathrooms, upgraded kitchens, or custom flooring, those improvements are not automatically covered under the standard strata policy, which insures the building in its originally constructed condition.
Lot Owners’ Fixtures and Improvements cover is an optional extension that addresses this gap. Lot owners who have made material upgrades should confirm with the body corporate whether this cover is in place, and to what limit.
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Find The Right Cover
Complete the form to request a QUOTE. Call us at 1300 900 207 for an immediate response.
What Does Strata Insurance Not Cover?
Transparency about exclusions is as important as any coverage list. Understanding what a strata policy does not cover helps lot owners make informed decisions about their own personal insurance arrangements.
Standard strata insurance policies do not cover:
- Personal contents inside individual lots, including furniture, clothing, personal effects, appliances, and electronics belonging to lot owners or tenants
- Motor vehicles, motorbikes, and bicycles, even if stored in common-property garages or carparks
- Loose floor coverings and carpets within a lot, unless specifically noted in the policy
- Renovations or structural alterations by individual lot owners, unless Lot Owners’ Improvements cover has been added to the policy
- Wear and tear, gradual deterioration, and lack of maintenance. Insurance responds to sudden and unforeseen events, not the cumulative result of deferred upkeep
- Building defects and faulty workmanship. Construction defects are a matter between the body corporate and the builder, typically through the home building compensation framework
- Intentional damage caused by an owner, occupant, or their guests
- An individual lot owner’s personal legal liability as a defendant, which requires a separate contents policy or landlord policy held in the lot owner’s own name
Lot owners should not assume the strata policy covers everything within or attached to their property. Speaking with a qualified insurance broker will help identify whether a personal contents policy or landlord insurance is appropriate alongside the scheme’s strata cover.
Claims Assistance That Works for You
When something goes wrong at a strata property, the claims process can be demanding. Multiple parties, multiple assessors, disputes about responsibility between lot owners and the body corporate, and the pressure of displaced residents all add complexity that a generic call centre is poorly equipped to handle.
Coverscope takes ownership of the claims process on behalf of the scheme. Our qualified brokers lodge the claim, manage communication with the insurer, and work to coordinate trades and repairs where required. The goal at every stage is to achieve the right outcome for the scheme and to keep committees and managers informed throughout.
Why Use a Strata Insurance Broker?
Strata insurance can be purchased directly from an insurer or underwriting agency, but the difference between a direct policy and one arranged through a qualified broker extends well beyond price.
As a Steadfast member broker, Coverscope has access to exclusive policy wordings and insurer facilities not available in the retail market. In practical terms, that means broader coverage options, access to insurers who specialise in strata risk, and the ability to negotiate on behalf of the scheme rather than accepting a standard off-the-shelf product.
Beyond market access, a broker adds value at every stage of the insurance relationship, at placement, when assessing the building sum insured, at renewal when market conditions shift, and critically, when a claim needs to be lodged and managed. Our qualified brokers advocate for the scheme, not the insurer.
Strata legislation is also complex and state-specific. Understanding whether your scheme meets the mandatory insurance requirements in your jurisdiction, and whether coverage gaps exist beyond the legal minimum, requires someone who knows both the legislative framework and the insurance market. That is what Coverscope’s qualified brokers bring to each scheme they work with.
Get a Strata Insurance Quote
Coverscope arranges strata insurance for schemes in every Australian state and territory. Our qualified brokers are based on the Gold Coast and operate nationally, with a solid understanding of the legislative requirements and risk profiles across different regions, including cyclone-prone areas of Queensland and the Northern Territory, where building location and policy terms require careful consideration at placement.
If your scheme is in New South Wales, Victoria, Queensland, Western Australia, South Australia, the ACT, Tasmania, or the Northern Territory, our qualified brokers can arrange cover that meets your state’s specific legislative requirements and reflects your building’s actual risk profile.
Contact our strata insurance team today. Whether you’re looking for a new quote, a policy review or help with a claim, we’re here to support your property.
Get in Touch
Simply fill in the form below and we’ll be in touch shortly, or feel free to call and tell us about your specific requirements.
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Suite 77 Level 2/14 Edgewater Ct, Robina QLD 4226
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PO Box 7005, Mount Crosby QLD 4306
Our team continues to work remotely but you are welcome to arrange an appointment with one of our consultants.
Please complete the form to submit an enquiry.
What is strata insurance?
Strata insurance is building and liability cover arranged by a body corporate or owners corporation on behalf of all lot owners in a strata scheme. It protects the shared structure, common property, and communal infrastructure against physical loss and legal liability. It is a legal requirement in every Australian state and territory, and must be arranged in the name of the body corporate or the owners corporation, not in the name of individual lot owners.
What does strata insurance cover in Australia?
Strata insurance can provide cover for physical damage to the building and common property caused by fire, storm, flood, theft, vandalism, escape of liquid, and accidental damage. It also typically includes public liability, loss of rent, office bearers’ liability, fidelity guarantee, machinery breakdown, voluntary workers, catastrophe cover, and government audit costs. The specific inclusions depend on the policy wording and insurer. A qualified broker can confirm what is and is not included under your scheme’s policy.
Is strata insurance compulsory in Australia?
Yes. Strata insurance is compulsory in every Australian state and territory under the relevant strata titles legislation. All schemes are required to hold building reinstatement insurance and public liability cover at a minimum. The minimum public liability requirement is $20 million in NSW and Victoria, and $10 million in all other states and territories. Meeting the legal minimum is not the same as being adequately protected. A qualified broker can assess whether your scheme’s cover is sufficient.
What does strata insurance not cover?
Standard strata insurance does not cover personal contents inside individual lots, motor vehicles, loose floor coverings and carpets within a lot, renovations by individual lot owners unless specifically added to the policy, wear and tear, building defects or faulty workmanship, intentional damage, or an individual lot owner’s personal legal liability. Lot owners should not assume the strata policy covers everything within their property and should consider a separate contents or landlord policy for their own protection.
What is the difference between strata insurance and home insurance?
Strata insurance covers the building, common property, and shared infrastructure of a strata scheme and is arranged collectively by the body corporate or owners corporation. Home insurance covers a freestanding property owned and managed by a single owner. If you own an apartment or unit in a strata scheme, the building is insured by the body corporate. You are responsible for insuring your own personal contents and any privately funded improvements within your lot.
Who is responsible for arranging strata insurance?
The body corporate or owners corporation is legally responsible for arranging strata insurance on behalf of the scheme. In practice, this task is often carried out by an appointed strata manager or an insurance broker acting on the committee’s instructions. In NSW, when a strata manager arranges insurance, three quotes are required under the Strata Schemes Management Act 2015. For self-managed schemes, the committee arranges cover directly, often with the assistance of a qualified insurance broker.
Who pays for strata insurance?
Strata insurance premiums are paid from the scheme’s administrative fund, which is funded by levies collected from all lot owners. The cost is shared across lot owners in proportion to their lot entitlements. Individual lot owners do not pay the strata insurance premium directly. The body corporate or owners corporation manages payments to the insurer, typically on an annual basis, with premium funding arrangements available to spread the cost throughout the year.
What is the minimum public liability required for a strata scheme?
The minimum public liability requirement varies by state. In New South Wales and Victoria, the minimum is $20 million. In Queensland, Western Australia, South Australia, the ACT, Tasmania, and the Northern Territory, the minimum is $10 million. Most strata insurance policies include $20 million as standard, regardless of location. For larger, higher-traffic buildings or schemes with commercial lots, it is worth confirming with your broker whether the standard limit is appropriate for your scheme’s risk profile.
What is fidelity guarantee insurance in strata?
Fidelity guarantee insurance provides cover for fraudulent misappropriation of funds by an officer of the body corporate or an appointed strata manager. If a person with authority over the scheme’s finances acts dishonestly and misappropriates funds, this cover responds to the scheme’s financial loss. In South Australia, fidelity guarantee insurance is a mandatory component of strata insurance. In all other states, it is strongly recommended for any scheme where a manager or committee has access to scheme funds.
How do I know if my strata building is adequately insured?
The building sum insured should reflect the full reinstatement and replacement cost of the structure, not its market value or purchase price. These figures can differ significantly, particularly in areas where construction costs have risen sharply. A building that is insured for less than its true replacement cost is underinsured and may leave the scheme short-funded following a major claim. Most industry bodies recommend an independent building valuation every three to five years. A qualified broker can help identify when a valuation is due.
