Body corporate insurance offers cover for commercial, residential or mixed use buildings and shared spaces.
This specialist insurance covers buildings where multiple people or entities may own or lease units in one property. Common examples include apartment blocks, retail complexes and multi-use units. We can also arrange cover for cross leases and residential societies.
House insurance isn’t suitable for unit titles because commercial complexes, short-term rentals, large residential developments and mixed-use properties have unique risks. Additionally, the unit titles act states that units must be insured for replacement under one policy.
Body corporate insurance offers cover for material damage to the building, fixtures, fittings and chattels. The packages can also include cover for associated loss of rents, alternate accommodation, as well as liability risks and cover for the committee.
Marsh has a highly experienced and specialist team that works with New Zealand’s leading body corporate insurers and can arrange access to exclusive policy wordings to cover the unique needs of body corporates.
From a four unit residential, to large- or small-scale commercial properties, a 500+ unit complex, we can manage insurance for a wide range of multi-unit properties.
A property in Wellington comprises of 60 units, a mix of small retail and food outlets, with residential units on top of and to the rear of the building. There are communal spaces such as shared staircases, a central lobby for the residential units and a small gym with a swimming pool.
Under the Unit Titles Amendment Act 2022, the property is required to have body corporate insurance. The body corporate secretary arranges comprehensive body corporate insurance with a reputable broker, ensuring that the unique needs of the property are catered for where possible in the policy.
When a storm damages the roof, causing water ingress on the west wall of the property, several residential tenants and one retail tenant need to move out while repairs are made. The body corporate insurance covers the cost of repairing the roof and damage caused by the water ingress. It also covers temporary accommodation for the residential owner occupiers, loss of rents for the landlords both commercial and residential. Damage to their personal furniture and the retail tenant’s products is not covered – this is covered by the tenants’ personal and business insurance.
A few years later, a new residential tenant decides to use the swimming pool after hours. Despite clear signage about the opening hours and safety rules, the person dives into the shallow end of the pool and breaks their leg. The person decides to sue the body corporate for negligence, claiming the signage was not clear, and the pool lighting was inadequate. Body corporate insurance helps to cover the cost of legal defence and the cost of investigating the incident. When the body corporate is found partially responsible, the settlement cost is covered (up to the policy limits).
This body corporate insurance example is fictional and does not represent any real-life individuals, events, or organisations.
Why should you choose Marsh to arrange your insurance solutions?
Cover for property damage, liability, loss of income, theft, and guest injuries for the contents of homes rented on platforms like Airbnb.
A complete business insurance solution tailored to fit small and medium businesses. Right here. Under one policy.
Building insurance is part of the body corporate insurance package.
Because of the unique structure of a property with multiple units owned or leased by different entities or individuals, house insurance and other types of building insurance are not appropriate for multi-unit buildings.
Sometimes referred to as strata insurance, body corporate insurance typically covers the building, common areas and shared facilities of a multi-unit property. It also covers body corporate liability.
Body corporate liability refers to the legal and financial responsibility held by a body corporate, strata corporation or homeowners’ association of a multi-unit building.
This committee group can be held liable for injuries or property damage in shared spaces, legal costs from lawsuits and unintentional breaches of certain statutes. Liability insurance, as part of a body corporate insurance package, protects the body corporate against these risks.
A certificate of currency is proof that you hold a current insurance policy.
Please contact us once you have accepted your policy and we will arrange for a certificate of currency to be sent to you from your insurer.
Yes. We can arrange monthly instalments* with a finance company, provided you meet certain criteria.
To request monthly payments, please talk to one of our dedicated Marsh insurance brokers.
*Interest and additional fees may be applicable. Terms and conditions apply.
The answer depends on how often your business changes.
As a rule of thumb, we recommend you review your policy at least once a year. This will ensure your business’s current risk exposures are covered.
But major changes – like business growth, greater work complexity or expanded services – should always prompt an insurance review.
Some insurers need to know about certain changes in accordance with your duty of disclosure. If your business has changed recently, contact the Marsh hospitality team to update your policy.
Marsh Limited (NZBN 9429040918792)(“Marsh”) arranges the insurance and is not the insurer. This page contains general information and does not take into account your individual objectives, financial situation or needs. For full details of the terms, conditions and limitations of the covers, refer to the specific policy wordings and/or Product Disclosure Statements available from Marsh on request. This publication is not intended to be taken as advice regarding any individual situation and should not be relied upon as such. The information contained herein is based on sources we believe reliable, but we make no representation or warranty as to its accuracy. Marsh shall have no obligation to update this publication and shall have no liability to you or any other party arising out of this publication or any matter contained herein. Marsh makes no representation or warranty concerning the application of policy wordings or the financial condition or solvency of insurers or re-insurers. Marsh makes no assurances regarding the availability, cost, or terms of insurance coverage.
LCPA 24/507
