Storage costs because of water problem

An owner in our strata plan has had water inundate part of their lot from common property.  A room had to be emptied of its contents and stored and the room was gutted as part of the forensic investigation.  Water has continued to enter that lot for 5 years while the causes were identified and a home owner's warranty claim has been pursued.  Remedial works are in progress but not yet completed.  The lot owner has lodged a claim with the owner's corporation for the storage costs incurred.

The executive committee doesn't want to pay those costs unless the home owner's warranty insurer firstly accepts the claim.  The lot owner says the owner's corporation is liable for those costs regardless of whether an insurer ultimately covers the cost.

Who is correct?

How might the parties progress from this point forward?

Mark H