Question: The SCA (NSW) 2026 phase-out of insurance commissions relies entirely on voluntary association rules. Given this, is industry self-regulation fundamentally flawed?
The SCA (NSW) 2026 phase-out of insurance commissions relies entirely on voluntary association rules. However, because there is no legal obligation on strata managers to be SCA members, operators can withdraw from the association while continuing to collect commissions. Given this structural loophole, is industry self-regulation fundamentally flawed?
Answer: I don’t think self regulation is the way to go. It needs regulatory reform, and I think the SCA will support that.
I don’t think self regulation is the way to go. I think, as Tyrone articulated really well in his presentation, it needs regulatory reform, and I think that’s what the SCA will be supporting.
At the moment, it’s voluntary. It doesn’t really matter whether you’re an SCA member or not. The choice is yours to retain commissions until the government decides, in their wisdom, what they want to do.
We’re advocating for change for the better, with more transparency, and trying to lead our members in the right direction.
This post appears in Strata News #785.
Wade McKenzie
Strata Community Association (NSW)
E: enquiries.nsw@strata.community
P: 02 9492 8200
Leave a Reply