residential strata insurance
Delivering specialist strata insurance backed by the global strength and financial security of Allianz.
Whether you own an apartment, unit, duplex or townhouse, or you sit on your building’s owners committee or body corporate, residential strata insurance is one of the most important decisions your scheme will make. It protects the building structure, common areas and shared facilities that all lot owners and residents rely on. In every Australian state and territory, it is required by law to protect common property within a strata scheme.
Strata Community Insurance provides residential strata insurance backed by Allianz Australia Insurance Limited, part of one of the world’s largest insurers. With almost half a million strata units, apartments and townhouses insured across Australia and 100% of our resources dedicated to the strata community, we understand what residential schemes need and we make it straightforward to get covered.
What is Residential Strata Insurance?
Residential strata insurance is coverage designed to protect residential properties including apartments, units, and townhouses. This essential insurance covers the building structure and common areas that are shared by all residents in a strata scheme.
Who do we help in the strata Community?
Owners
We provide flexible and comprehensive insurance options to protect your individual investment and shared property.
Strata Managers
We support strata managers with seamless service and customised insurance solutions for the schemes they manage.
Brokers
We support insurance brokers to deliver specialised strata insurance for complex schemes and varied client portfolios.
What does our Residential Strata Insurance Cover?
The essentials covered
The following are included as standard cover under your Residential Strata Insurance policy.
Insured Property
Covers Loss or Damage to the Building and Common Area Contents which occurs during the Period of Insurance. May also include cover for loss of rent or temporary accommodation. Limits apply. For further information, please read our Product Disclosure Statement.
Liability to others
Covers the insured’s legal liability to others for accidental death, bodily injury, or Loss or Damage to property that happens during the Period of Insurance. For further information, please read our Product Disclosure Statement.
Voluntary Workers
Provides benefits payable to a Voluntary Worker who sustains bodily injury while engaged in voluntary work or duties for the owners corporation. Limits apply. For further information, please read our Product Disclosure Statement.
Fidelity guarantee (Mandatory in SA; Optional Extra in other States.)
Cover against fraudulent misappropriation of the insured’s Funds. For further information, please read our Product Disclosure Statement.
Optional Extras available
You can add to your cover
Office Bearers Liability
Covers the legal liability of owners corporation office holders and committee members for any wrongful act they commit. For further information, please read our Product Disclosure Statement.
Machinery
breakdown
Provides cover against the breakdown of electrical, electronic and mechanical plant. (All policies include cover for fusion of electrical motors up to $5,000 under Section 1. For further information, please read our Product Disclosure Statement.
Catastrophe
insurance
When the building is destroyed or we declare it a contructive total loss, this additional benefit covers the unforeseen increase in the Replacement cost of the Building following an event declared as a catastrophe by the Insurance Council of Australia. Cover for catastrophic events such as bushfire and earthquake is included under Section 1. For further information, please read our Product Disclosure Statement.
Government audit costs and legal expenses
Cover for the cost of professional fees incurred in connection with an audit, the cost of appealing against common property health and safety breaches, and the cost of defending specific litigation. For further information, please read our Product Disclosure Statement.
Lot Owners’ Fixtures & Improvements
Cover for Loss or Damage to any fixture or structural improvement, other than Floating Floors, installed by a Lot Owner for their exclusive use and which is permanently attached to or fixed to your building so as to become legally part of it, when the Sum Insured under Part A of Section 1 is exhausted. For further information, please read our Product Disclosure Statement.
Loss of Lot market value
Cover for the reduction in the market value of a Lot or Lots following a total loss or constructive total loss, or partial loss of Insured Property when permission to rebuild is limited or restricted by any Public or Statutory Authority that results in all or some Lot titles being terminated. For further information, please read our Product Disclosure Statement.
Flood
Cover for Loss or Damage to Insured Property caused by Flood which happens during the Period of Insurance.
For further information, please read our Product Disclosure Statement.
Floating Floors
Cover for the cost of repairing or replacing Lot Owners’ Floating Floors if damaged by an Event claimable under Section 1, where the Building Sum Insured is not exhausted. For further information, please read our Product Disclosure Statement.
Why Choose Our Product
Built around a comprehensive set of mandatory and standard covers across various property and liability exposures, our policy also offers a broad range of optional covers that can be selected and adjusted to suit the complexity, risk profile and needs of each scheme. Refer to the Product Disclosure Statement for full terms and conditions.
Property cover that goes further
Section 1 (Insured Property) includes a range of benefits that cover things like key and lock replacement up to $25,000, landscaping up to $25,000, removal and storage costs up to $25,000, and loss of rent and temporary accommodation.
Short-term rental accommodation
Our definition of Rent includes provisions for short-term rental accommodation with guidance provided on substantiating any annual or daily rental value through other reasonable evidence including bookings captured under an electronic short-term stay booking platform. This would extend to common booking platforms.
EV chargers and solar panels included in Building definition
A Building definition that reflects how strata communities live and operate. EV chargers and solar panels are becoming increasingly common and are explicitly included in our Building definition, so the infrastructure that defines modern strata living is clearly outlined in the policy.
Cyber Response Costs
Our cover for cyber response costs is a first in the strata market and includes cover up to $25,000 for cyber events affecting the community’s own systems, or up to $100,000 when the communities data is impacted in the strata managers system. This gives support if a cyber event occurs and includes funds lost through payment redirection fraud, phishing or social engineering, response and restoration costs as well as credit monitoring.
Emergency accommodation for lot owners and tenants
Emergency accommodation for lot owners and tenants is meaningful cover that removes one pressure point during what can be a stressful time. If a lot becomes uninhabitable following an insured event, and more than one lot is affected, Section 1 Part C provides up to $2,500 per lot in emergency accommodation costs.
Lot Owners’ Fixtures and Improvements
Lot owners regularly upgrade their lots with new bathrooms, flooring, and built-in cabinetry, often without the body corporate’s knowledge. If those improvements aren’t captured in the building sum insured, they’re at risk in a major loss event. Section 10 Lot Owners’ Fixtures and Improvements covers the replacement cost of such improvements up to 10% of the building sum insured.
Voluntary Workers cover
Voluntary Workers cover provides up to $300,000 for accidental death or total and permanent loss of sight or limbs, $150,000 for loss of use of one hand, foot or eye, and weekly benefits of up to $2,000 for total disablement. This provides genuine financial support for the committee members and volunteers who keep communities functioning.
Why Do You Need Residential Strata Insurance?
Legal Requirements
Residential strata schemes are required by law to protect their common property. Property owners in strata schemes must comply with mandatory insurance obligations set out in state-specific legislation, including:
Northern Territory: Unit Titles Schemes Act 2009
New South Wales: Strata Schemes Management Act 2015
Victoria: Owners Corporations Act 2006
Queensland: Body Corporate and Community Management Act 1997
South Australia: Strata Titles Act 1988
Western Australia: Strata Titles Act 1985
Australian Capital Territory: Unit Titles (Management) Act 2011
Financial Protection
Without adequate strata insurance, individual lot owners could face significant financial exposure for things like:
- Major building reinstatement following fire, storm damage, or other covered events
- Legal liability claims for injuries occurring in common areas
- Replacement of damaged common property and shared facilities
- Temporary accommodation expenses if the building becomes uninhabitable
Shared Risk Management
Strata living involves shared ownership of common property, which creates collective risks that individual lot owners cannot manage alone. Residential strata insurance ensures that the owners committee or body corporate can effectively protect everyone’s investment and manage liability exposures across the entire scheme.
WHO CAN ARRANGE RESIDENTIAL STRATA INSURANCE?
- Individual Lot Owners & Owners Committee Members: For self-managed schemes you can apply for residential strata insurance directly with us as long as you are authorised by your strata community.
If your building’s insurance arrangements are handled by a Strata Manager or Insurance Broker you should consider reaching out to them so they can review your building insurance needs.
- Strata Managers or Insurance Brokers: If you are a professional service provider, learn more about how to obtain quotes and partner with us.
Coverage for your state or Territory
To see what’s covered under residential strata insurance in your state or territory and understand your specific legal obligations, visit our dedicated state pages:
Why Choose Strata Community Insurance?
Whether you self-manage your property, are a strata manager or a broker, we provide strata communities with the choice to place their insurance and tailor coverage to their specific needs, building types, and risk profiles.
With 100% of our resources dedicated specifically to the strata community, our team understands local obligations and explains them in a way you can understand.
Being privately owned, and with presence in all major capital cities, we have a complete focus on Australian strata communities so you can be confident our products and services are built to work for your needs.
Claims time is when insurance proves its worth. Our quick and easy online claim lodgement gives you access 24/7. If you have a more complex situation, our Australian based claims team handles everything locally.
Partnering with Allianz Australia Insurance Limited, part of the Allianz Group, means you have the confidence of being backed by one of the world’s largest insurers.
With passion and support that extends beyond just providing insurance products, we actively advocate for industry and regulatory changes that improve outcomes for the broader strata community.
How to get a residential strata insurance quote
Getting a quote for your residential strata scheme takes just a few minutes. You will need some basic information, including:
• Building address, strata plan number and number of lots
• Year of construction and building type (apartment, townhouse, villa, etc.)
• Claims history
• Existing policy details including any excesses
Obtaining a quote from Strata Community Insurance is designed to be straightforward, and if you have questions along the way, our strata insurance specialists are available to help.
Frequently asked questions about residential strata insurance
Is residential strata insurance compulsory in Australia?
Yes. Residential strata schemes across Australia are required by law to protect their common property and must comply with minimum statutory insurance obligations set out in state and territory specific legislation. Our policy wording is designed to meet mandatory requirements and provides additional optional benefits to create a policy that suits your needs.
What does residential strata insurance cover?
Residential strata insurance typically covers the building structure, common property and shared facilities, mitigates your public liability risks, and offers financial security against events such as fire, storm damage, and other accidental damage. Strata Community Insurance also offers a range of additional covers not always found in standard policies such as emergency accommodation costs, loss of rent and temporary accommodation and cyber response costs that give support if a cyber event occurs.
What is the difference between strata insurance and home and contents insurance?
Strata insurance covers the collective interests of all lot owners within a strata scheme and is required by law. It typically includes the building structure and common property and public liability protection. Home insurance is designed to cover the physical structure of standalone houses and contents insurance covers an individual lot owner’s personal belongings like your furniture, white goods, clothes and more. Both types of insurance may be needed, and each individual owner will need to consider their own insurance needs.
What should be considered when calculating your Building Sum Insured for strata insurance?
The building sum insured needs to reflect the full replacement value of the building and common property and include other items such as removal of debris and professional fees. This is often called the replacement value or reinstatement value. This should not be confused with market value. Underinsurance is a significant risk in strata and without adequate strata insurance, individual lot owners could face significant financial exposures. Strata Community Insurance recommends obtaining a professional building valuation to ensure your building sum insured is accurate.
Can I arrange strata insurance directly, without a broker or strata manager?
Yes. If you are a member of a self-managing owners committee or body corporate, you can apply for residential strata insurance directly with us. You will need to be authorised by your strata community to arrange insurance on their behalf. If your scheme uses a strata manager or insurance broker, we recommend contacting them to review your insurance needs.
What is the difference between owners corporation insurance, body corporate insurance, and strata insurance?
These terms all refer to the same type of insurance and the terminology varies by state or territory. In Victoria and New South Wales, the managing body is called an owners corporation. In Queensland, the Northern Territory and Tasmania it is called a body corporate. In Western Australia it is a strata company, and in South Australia it is a strata corporation. The product itself, strata insurance, is the same regardless of these local variations and different legislation.
How do I make a claim on my residential strata insurance?
Claims can be lodged online 24 hours a day, 7 days a week through our online claim portal. For more complex situations, our Australian-based claims team is available to guide you through the process. Before lodging a claim, it is worth reviewing what is and is not covered under your policy — see our Before You Claim guide for a plain-English overview of the claims process.