› Flat Chat Strata Forum › The Professionals › Letter Of Authority – Existing Building Insurance Policy › Current Page
In my opinion …at first glance the SM appears to have over stepped his authority but this very much depends on what contract provisions that your OC approved and has signed with the new SM in their Strata Management Agreement.
Was the SM’s exclusive authority to seek out alternative insurance policies something that was agreed to in the SM’s contract? Check the contract.
What reasons were given for not being able to renew your existing policy, and were these reasons given by the insurance company or the new SM?
I would have thought that the Committee would also have the authority to also seek out quotes for insurance. After all, any owner has a right to seek out quotes that can then be submitted by that owner as a Motion at general meetings. This will no doubt generate animosity with your new SM which is something that you may not want.
https://www.lookupstrata.com.au/nsw-duties-of-strata-treasurer/