1. Check the building sum insured and replacement value
The building sum insured should be checked against the latest available replacement valuation or professional estimate. Trustees should not rely only on last year’s figure plus a general increase if the scheme has changed, improved or experienced building-cost movement.
- Check whether all sections and common property are included.
- Confirm whether boundary walls, gate motors, lifts, pumps, garages and outbuildings are treated correctly.
- Record when the last valuation was completed and when it should be updated.
2. Review excesses before owners complain
Excesses are often only discussed after a geyser burst, water damage incident or storm claim. Trustees should review the excess table before renewal and communicate important items to owners.
- Geyser excesses
- Water damage excesses
- Storm, wind and roof leak excesses
- Impact damage and accidental damage excesses
- Any higher excesses imposed after claims
3. Check claims history and problem areas
Claims history affects renewal terms. If the same type of loss happens repeatedly, the insurer may apply higher excesses, exclusions or conditions. Trustees should identify trends before renewal and keep maintenance records ready.
4. Review liability, fidelity cover and trustee indemnity
Body corporate insurance should not only focus on buildings. Trustees should also check public liability, fidelity cover and trustee indemnity or trustee liability, where applicable to the scheme and policy.
5. Prepare documents for the broker
Before requesting a review, prepare the current schedule, claims history, valuation, renewal terms, scheme details and any unresolved claims or owner complaints.