#29180
Austman
Flatchatter

    Actually, compulsory strata building insurance usually covers all the building(s).

    That’s common property building structures but also private lot property building structures.  It also often covers lot fixtures and improvements.  Sometimes it’s legislated that way (eg NSW, VIC, ACT) but with all my OC’s policies (they are all CHU) it’s actually written that way or in the case of lot fixtures and improvements, offered as an optional policy.   CHU’s residential strata policy does however only cover common contents.

    Try taking out any type of building insurance if you are a lot owner in a strata apartment building.  Insurance companies will only offer you contents insurance.  That contents insurance might cover damage to buildings if you are found to be legally liable for that damage and do not have another insurance policy that covers it.

    I know of individual owners, myself included, who have by-passed the strata committee when making strata building insurance claims. The strata manager/insurance broker/insurance company themselves decided if the claim was acceptable and valid. Those claims have been for both common property (usually inside a lot) and for lot property.   CHU now even allows lot owners to directly make such a claim on-line: Make a claim for strata

    I have just now re-confirmed this with CHU. They allow lot owners make strata building insurance claims directly.  Owners are part of the OC and are automatically covered.  It’s for this reason that owners can’t be pursed by the OC’s insurance company to recover damage caused by negligence payouts the way that tenants can be.  Of course this is not a guarantee that the claim will be accepted.   But I’ve had payouts when done this way.

    In the OP’s situation, I would think the damaged property will probably be common property. And if so, the OC has to repair it.  Assuming the repair costs are worth claiming (the cost is more than the excess), the OC has the option of claiming those repair costs on its building insurance.  If instead the repair costs were passed to the lot owner, the lot owner could try claiming them directly.

    I think excess should be the only deciding matter.