Addressing the Challenges of Matching in Strata Insurance Claims
Strata Insurance Solutions is committed to providing comprehensive insurance solutions for strata properties. In this article, we shed light on the contentious subject of matching in strata insurance claims. Matching refers to the scenario where an insurer cannot find an exact match for a damaged component that can otherwise be repaired. We delve into the treatment of matching in strata insurance and explore the options for policyholders when faced with this challenge.
Understanding Matching in Strata Insurance Claims
Matching commonly arises when specific elements such as tiles, kitchen cabinetry, or bathroom cabinetry suffer damage. While insurers may be capable of repairing the damaged portions, finding an identical match for the existing property can prove challenging. Strata insurance policies, unfortunately, do not typically include a matching benefit. Instead, insurers are generally limited to repairing the damaged area only.
Options for Policyholders
When a claim involves property damage that cannot be matched, policyholders are presented with a few alternatives. The first option is to source similar products that can be matched to the existing property. This may require further research and the assistance of professionals to ensure a close resemblance in appearance and quality. Alternatively, policyholders may opt for a cash settlement from the insurer. In this case, policyholders can use the payment to replace the damaged component entirely or select a suitable alternative.
Potential Policy Provisions and Support
In some instances, policyholders may find provisions within their strata insurance policies that support the matching of damaged property or the coverage of the entire cost. While these cases are not common, specific scenarios have been supported by the Australian Financial Complaints Authority. This demonstrates the importance of thoroughly reviewing policy terms and seeking professional advice to maximize the chances of obtaining matching or comprehensive coverage for damaged property.
Advocating for Enhanced Consumer Protection
Strata Insurance Solutions recognises policyholders' challenges in claims involving property damage that cannot be matched. Our company actively advocates for insurance companies to provide greater consumer protection in these situations. By promoting awareness and addressing this issue, Strata Insurance Solutions strives to improve the insurance experience for strata property owners.
Matching in strata insurance claims poses significant challenges when damaged property cannot be perfectly matched. Strata Insurance Solutions acknowledges the absence of a matching benefit in standard strata insurance policies. Policyholders are left with the option of sourcing similar products for matching or opting for a cash settlement. While some policy provisions and instances of support exist, they are relatively rare. Strata Insurance Solutions advocates for enhancing consumer protection in strata insurance claims.
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This information is of a general nature only and neither represents nor is intended to be personal advice on any particular matter. Shandit Pty Ltd T/as Strata Insurance Solutions strongly suggests that no person should act specifically on the basis of the information in this document, but should obtain appropriate professional advice based on their own personal circumstances. Shandit Pty Ltd T/As Strata Insurance Solutions is a Corporate Authorised Representative (No. 404246) of Insurance Advisernet Australia AFSL No 240549, ABN 15 003 886 687.