Throughout 2019 the Strata Insurance industry has advised Strata Corporations to expect both significant increases in insurance policy cost as well as significant increases in deductibles in case of a claim. This is as a result of the capacity or dollar value insurance companies are prepared to insure in the strata market. This decision is based on but not limited to claims history (frequency and costs), age of construction, and property location (earthquake and flooding).
Strata corps can expect an increase of at least 40% or more as well as a significant increase in policy deductibles.
Upon renewal, owners should ensure their personal or homeowner insurance policy is updated to protect themselves personally from instances where damage may occur to your home where the repair costs are below the deductible amount. It’ll be important to review the Strata Corps policy with personal home insurance to ensure deductible amounts are covered as well as coverage for loss or damage should the Strata Corps policy not meet any or all repair and replacement costs.
Insurance Brokers Association of BC