6 key points to assist you and your Body Corporate to get the best possible terms out of your insurer.
- Make sure the grass is always greener
A key thing that potential Insurers look for is properties that are maintained regularly. A well maintained building is likely to have fewer claims, therefore the Body Corporate is looked at more favourably by Insurers. This makes it a competitive proposition, and Insurers will compete to Insure the building, which means they may lower premiums to obtain the business.
- Don’t sweat the small stuff
If you claim on every single little claim, it will give you a poor claims history. Set an amount and don’t claim anything under that no matter what it is. That will help your overall claim rating and make you more appealing to future Insurers.
- Where do you see your building in 5 years?
A good way to ensure you are correctly insured is to get an Insurance Valuation every 5 years. Having valuations completed regularly can avoid the Body Corporate having to pay an unnecessarily high premium or vice versa, being grossly under insured.
- Get what you pay for
Another way to reduce your premium is by increasing your excess. This means the Body Corporate will take on more of the liability in the event of a claim, therefore the Insurer will reduce the premium as the risk has become lower.
- Safety First!
It is a Body Corporate’s responsibility to mitigate potential claims. A way this can be done is by ensuring the Workplace, Health & Safety Report is completed and there are no outstanding items on the report. By doing so, an Insurer can see that the Body Corporate has the best intentions of making sure potential claims or exposures don’t occur.
- Knowledge is power
To make your building more appealing to Insurers, ensure you have compiled the results of the Sprinkler Flow Tests, complete surveys, current tenant occupancies and their business activities, outstanding risk recommendations and outstanding claims. Your Strata Manager & Broker will be able to assist you to compile these, so work with them to get the information together and then your Broker will be able to explore the Insurance market comprehensively with the information at hand.
This article discussing ways to save money on your strata insurance was supplied by Insurance Aid General Brokers.