What does my strata insurance cover in Victoria? - SSKB - Strata Managers | Community Experts

What does my strata insurance cover in Victoria?

Insurance requirements for strata titled properties can be confusing. Often it is hard to state as a general rule what is covered by the owners corporation and what an owner is responsible for. When it comes to something as significant as insurance, it’s important that you get all the details right the first time, so you’re not financially disadvantaged if an incident occurs.

Owners Corporation

Insurance requirements are set out in the Owners Corporation Act 2006. The legislation requires the owners corporation to take out reinstatement and replacement insurance for all buildings on the common property. The insurance must cover costs to replace, repair or rebuild the building to a condition substantially the same as before the damage, as well as provide for debris-removal and architect costs.

Owners corporation building insurance includes:

  • a structure and part of a building or structure
  • walls, out-buildings, service installations and other things attached to the main structure
  • any pipes or cables used to provide services to a party other than the owners corporation or its members (shared services)
  • a boat or a pontoon permanently moored or fixed to land

Fixtures and improvements forming part of the building, such as built in cupboards, shower screens, sinks and intercom systems, are also covered by the owners corporation’s policy.

Owner Occupiers

Victorian legislation specifically excludes carpet and temporary floor, wall and ceiling coverings from the owners corporation building insurance, so owners should insure these items in addition to their personal property.

  • Carpets
  • Light fittings
  • Mobile/fixed air conditioners
  • Curtains and blinds
  • Furniture
  • House hold appliances e.g. dishwashers
  • Valuables and personal equipment

Investment Owners

Landlord’s insurance will cover the items owners are responsible for which are not covered by the owner’s corporation policy (such as carpets, light fittings, dishwashers, air conditioners). Your tenants will be responsible for insuring their own furniture and personal belongings.

Landlord’s insurance will often include other covers such as accidental damage, malicious damage, and loss of rent.


Tenants are responsible for the items they own within the unit, including:

  • Furniture
  • TVs, computers, DVD players
  • Clothes
  • Jewelry
  • Sports equipment

If the above information doesn’t answer all your questions, contact your SSKB Community Manager who will be across all the details to ensure you are appropriately covered.

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