Question: Does the body corporate have a duty to disclose defects reports to their broker/insurer when renewing their insurance cover?
If an owner pays for building investigations following a defects inspection, should the initial Defects Report and any subsequent Reports be made available to the quantity surveyor commissioned to prepare the next Sinking Fund Forecast?
Does the body corporate have a duty to disclose these reports, and the identified risks, to their broker/insurer when renewing their insurance cover?
Answer: If asked why you didn’t disclose, how do you justify that?
I think if it affects common property, it is a body corporate expense and I don’t see why it would not be provided to a QS. As to insurance, disclosure is always better, because if asked why you didn’t disclose, how do you justify / explain that?
Frank Higginson Hynes Legal E: frank.higginson@hyneslegal.com.au P: 07 3193 0500