The Community Association Policy that CHU offers to insure Survey Strata in Western Australia has several major benefits to the Lot Owner.
The “Insured” is identified correctly.
If this plan was to be insured under one policy, as if it was a Strata Plan (built strata) the insured would be incorrectly labelled as The Owners of “Scheme Name” for the entire strata. This may lead to complications and possible legal exposure when making a claim, as the claim would need to be paid to The Owners of “Scheme Name”.
The Owners have the right to choose how they insure their Lot. The Strata Title Act only applies to the common property. Therefore, f this was insured under one policy, we would be removing the owners right to choose; whether this be their choice of insurer, level of insured sums, ancillary cover options or even the right not to insure.
A Lot Owners Policy will not be impacted by the actions of neighbours. Excessive claims change of use or large differences in insured sums by a single owner will have no impact on other policies. As each owner has been issued a separate policy for their property.
Our Lot Owner Policy is underwritten by QBE, we encourage clients to get a Home Owners Quote for full “Accidental Damage and Loss” as comparison. We believe our product offers extremely competitive prices when compared to similar products from major insurers.
Lot Owners can adjust their individual policy as they require, including having their bank or interested parties noted. This is not possible under a “normal” Strata Policy.
Continuity of insurer; by maintaining the same insurer across various areas; building, common area, contents, the claims process is simplified, and likely expedited, with any attending assessors being able to deal with all aspects of your claim, rather than multiple insurers getting involved.
This information was provided by CHU who we act as an authorized representative for.