The General provisions of relevant QLD legislation means that the Body Corporate must insure:

  • Common property and body corporate assets.
  • Buildings in which lots are located.

What does Strata Insurance cover in QLD?

Legislation provides statutory definitions of the following terms:


Includes improvements and fixtures (excluding carpet) but does not include:

  • Temporary wall, floor and ceiling covers.
  • Fixtures removable by a lessee or tenant at the end of a lease or tenancy.
  • Mobile or fixed air-conditioning units servicing a specific lot.
  • Curtains, blinds or other internal window coverings.
  • Mobile dishwashers, clothes dryers or other electrical or gas appliances not wired or plumbed in.


  • Earthquake, explosion, fire, lightning, storm, tempest and water damage.
  • Glass breakage.
  • Damage by impact, malicious act, riot.

Valuations must be obtained at least every five years and must be for full replacement value of building.


Compulsory Insurance

Applies to Common Property and Assets.  It must cover damage and costs associated with the reinstatement or replacement of insured buildings (including the cost of taking away debris and the fees for architects and other professional advisors).  The policy must provide for reinstatement of property to its condition when new.

Compulsory Insurance also applies to public risk (public liability) insurance over common property and assets for which it is practical to have public risk insurance. Public risk insurance must provide for compensation for third party bodily injury and property damage.  The sum insured for such insurance must be no less than $10million.

Payment of Excess

The BCCM Act and the regulation module set out the basis for allocating liability for payment of excess under a body corporate insurance policy

Where one event covered by an insurance policy affects only one lot, the legislation says that the lot owner is liable to pay the excess, unless the Body Corporate decides that this is unreasonable in all circumstances

For more information please go to the Office of the Commissioner for Body Corporate and Community Management (BCCM Office) website:

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