Question: Strata owns my pergola but I maintain it. Should my insurance include cover for the pergola?
I live in a strata complex and have a pergola beside my lot. Although the pergola belongs to the strata, I am responsible for maintaining it.
I’m switching insurance companies for my contents insurance/public liability. Should my insurance cover include public liability for the pergola?
Answer: Contents or landlords insurance generally extends to the pergola.
When a lot owner is responsible for maintaining a property feature, such as a pergola that is on common property but is under the care of the lot owner, they can be held legally liable for injury or property damage associated with it.
Typically, contents or landlords insurance includes public liability cover, which is intended to protect the lot owner from liability related to their property. This would generally extend to the pergola, covering the lot owner if a claim arises due to their responsibility for its maintenance. However, it is crucial to review the specific policy to ensure this coverage applies.
For the strata corporation, if drawn into a liability claim related to the pergola or any other common property, the strata insurance policy would generally respond, subject to the policy’s terms, conditions, and exclusions.
This post appears in the May 2025 edition of The WA Strata Magazine.
Tyrone Shandiman
Strata Insurance Solutions
E: tshandiman@iaa.net.au
P: 1300 554 165
This information is of a general nature only and neither represents nor is intended to be personal advice on any particular matter. Shandit Pty Ltd T/as Strata Insurance Solutions strongly suggests that no person should act specifically on the basis of the information in this document, but should obtain appropriate professional advice based on their own personal circumstances. Shandit Pty Ltd T/As Strata Insurance Solutions is a Corporate Authorised Representative (No. 404246) of Insurance Advisenent Australia AFSL No 240549, ABN 15 003 886 687.
A lot owner who is also a COO did not report a roof and ceiling damage that was not referred to strata insurance due to the time lapsed and subsequent further mould and damage. At the AGM they said they were laid back and did not worry about the damage. As this was common property the matter had to be resolved through strata admin funds at approximately $7,000. The strata admin fund only contained $11,000 therefore this would seriously impact the rest of the owners of the complex should anything else occur. Two COO members voted to rectify the problem and request the owner pay all monies back over 12 months to the admin fund due to the negligence in reporting and deducting $1,000 from the amount as a goodwill gesture. The remaining COO agreed at first and now is currently stating we should pay the whole amount to the affected owner and not request the monies back. The affected lot owner and this COO are good friends and have worked together on organising repairs without the knowledge of the other two COO’s. What can I do as I believe this is unfair use of strata admin funds if the monies are not repaid. Both two COO’s did not vote to approve the repairs and Strata stated that as we didn’t vote in time it was considered a YES vote in support of payment to the affected COO.
Hi Toni
Due to the complexity of the situation, you would be est to seek independent advice from a qualified professional.
All the best
What is an investor cannot be contacted by the srata co. and does not pay his insurance or maintain his lot and his renting agent does not acknowledge the strata’s request for advice