#18624
Jimmy-T
Keymaster

    Willie said

    Can the EC take the insurance administration away from the SM and appoint a broker or does it need to go to a General Meeting of OC

    First look at your contract with the Strata Manager – that will tell you what can and can’t be  done.  Then the EC would normally negotiate (often through the SM) what insurance policy they want and with whom.  The best insurance option would normally be presented at your AGM for Owners Corporation approval.  However, taking out insurance is one of the duties of the owners Corporation that CAN be delegated to EC members or the Strata Manager so it may be done separately from the AGM. That said, the Owners Corporation – that’s all the owners at a general meeting – can change the way they want this to be handled by a simple majority vote.

    @Cobra said:
    As an additional inquiry to Willie’s question; if the EC take the insurance admin (& commission) away from the SM and appoint a broker, can we still have the notices sent via the SM?

    The notices sent out by the Strata manager relate to the levies, part of which  cover insurance premiums.  There is no reason I can think of why this would have any bearing on levies notices.  The insurance premiums would also have to be listed (by law) in the annual budget prepared by the treasurer and/or strata manager.  Again, it wouldn’t matter who arranged the insurance. 

    The opinions offered in these Forum posts and replies are not intended to be taken as legal advice. Readers with serious issues should consult experienced strata lawyers.