Strata Water Damage Claims: Coverage and Resolution

Water damage can cause significant issues for strata properties, leading to expensive repairs and potential conflicts with insurance providers. In this informative video presented by Strata Insurance Solutions, we delve into the complexities of strata water damage claims, providing insights on what to anticipate, coverage considerations, and the essential steps to take when dealing with such a situation.

Mitigating Strata Water Damage: Make Safe Process and Insurance Coverage:

When faced with a burst pipe, leaking roof, or failed membrane within a strata property, the immediate priority is to prevent further damage through a process known as Make Safe. Ensuring the building's safety is paramount to avoid additional harm from the strata water damage claim. To initiate this process, it's recommended to reach out to Strata Insurance Solutions directly or visit our website for a list of reliable Make Safe contacts. Alternatively, seeking guidance from your insurer is advisable. It's important to be cautious when selecting contractors for Make Safe services, as some may charge excessive fees.

While these contractors may rank well in online searches, steep expenses can lead to disputes between you and your insurer regarding the appropriate coverage amount. Additionally, it's crucial to remember that Make Safe coverage generally extends only to the building itself. If non-building items, like carpet or furniture, suffer damage, verifying their inclusion under your Contents Insurance is essential.

Lodging a Strata Water Damage Claim and Determining Coverage:

After securing the building, the next step involves filing a strata water damage claim. Strata Insurance Solutions or you directly will engage a Builder to provide a quote for the required repairs. However, understanding which components of the claim are typically covered by insurance and which ones aren't is vital.

Key Components Considered in Strata Water Damage Claims:

  1. Identifying the Strata Water Leak: Pinpointing the source of the water damage, such as concealed burst pipes or leaking waterproofing membranes, is usually covered only in specific situations. Insurance policies generally include coverage for leaks caused by sudden and accidental events, like accidentally drilling into a pipe or encountering a pipe blockage in the sewerage system. Maintenance-related issues are often excluded, such as wear and tear or gradual deterioration.
  2. Repairing the Strata Water Leak: The coverage for repairing the identified leak may vary based on the cause. Strata policies typically cover leaks caused by sudden occurrences. However, maintenance-related issues, like wear and tear or gradual deterioration, are generally excluded from policy coverage.
  3. Consequential Strata Water Damage: Insurers usually consider the consequential damage resulting from a covered strata water damage claim. However, when the damage is older, insurers might examine factors like the timing of the damage occurrence—whether within the policy period or over an extended duration. Claims for sudden and accidental consequential water damage are more likely to be considered.

Expert Advice and Claim Assistance for Strata Water Damage:

Understanding the complexities of strata water damage claims can be overwhelming, especially in the aftermath of such an event. Strata Insurance Solutions is available to help you navigate the process and provide expert advice tailored to your specific situation. If you need assistance with a strata water damage claim, don't hesitate to contact us immediately. Our experienced team will guide you through the necessary steps and ensure you receive the support you deserve. For more valuable resources and informative videos, follow us on YouTube and LinkedIn.

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.