Unit above Burst Water System

I am an owner who had a small hot water system under the sink in the kitchen fail (it was only 5 years old). It caused considerable damage to my place and the apartment downstairs. Strata insurance is paying for repairs to floorboards, ceilings. paintwork etc in the downstairs apartment. My place is being dealt with by my contents insurer CHU who has been prompt and professional. Interestingly the damage to my kitchen cabinets is deemed strata. My question is about Strata Insurance. In 5 weeks no progress. The process is that I speak to our Managing Agent, who speaks to the broker. The broker sent a man with an ipad who sent pictures to the assessor who speaks to the insurer. Is it normal to have a broker involved? (I have never made a claim before). He seems to have no idea of the damage and that nothing can be done till the kitchen is dealt with. Do all insurance companies work through a broker? Are they supposed to have any expertise aside from selling insurance?  It seems very odd but maybe this is how these things are done?

This is definitely Strata insurance responsibility. I have just gone through this exact same thing myself. Claim was submitted last year September, still no payout, but they sent in an assessor during the fix up. I have a builder doing all the repairs. So far $70k spent, insurance offered $45k payment however on advice from a lawyer I’m disputing this and the insurer has relented and now offering me more money. When removing the kitchen cabinets, my builder damaged the stone tops and ruined the splash back. Insurer refused to pay for new tops and splash backs. They also do not pay for the replacement of your cabinet doors. They reckon you are supposed to re-install them. My builder couldn’t because the colours don’t match. The insurer claims they are not supposed to put you in an advantage position of having new cabinets, I told them that BS because I’m not supposed to be disadvantaged by the flooding event that occurred. This is when they relented and agreed to pay more. Luckily I had the advice from a lawyer who costs me $150. Another thing is that my occupants had to move out and the insurance is paying my loss of rental during the entire fix up period. Strata manager is an absolute idiot and doesn’t believe my claim and has called it “questionable “, so I deal directly with the assessor only and never copy in the SM in any correspondence which he hates.  When this is all over I plan to take SM and OC to NCAT to further my claim against them for additional losses in delays that they have caused in the re-fitting of my property. Delays in approval to replace my flooring. My advice is to stick with it and don’t let anyone roll you over. This wasn’t your fault. My lawyer advised, next time if it ever happens again, lock the apartment up, go to Strata Manager’s  office and drop off your keys and advise you have been flooded, ask them to  fix it up and put it back in the same way it was before. tell them you are staying in a 5 star hotel around the corner which will be charged to the OC until such time you can move back in. Period! See what happens. This is the responsibility of the SM and insurer’s to get it fixed, not you.

I disagree with 3.  If the owner of the upstairs flat is liable for damage to common property, then they are liable for damage to personal property in the unit below.

It sounds like the quoted strata manager is talking about issues in which the owners corp would get involved – and damage to common property is one of them.  But liability doesn’t end at the point where the OC stops caring.

• This reply was modified 1 year, 7 months ago by .