What is an Owners Corporation (formerly known as Body Corporate)?
An Owners Corporation formerly known as Body Corporate, is a body which collectively engages the building where a building is subdivided into lots. An Owners Corporation is the legal entity created when the plan is registered at the Titles Office.
What is the common property and who is responsible for this?
As per your plan of subdivision, the common property area is the shared area, that is not included in any private lot, this can include the main common entrance, common garden areas, walls, roof, lifs, stairwells and fences to name a few.
What does the Owners Corporation insurance cover and do I need to take out any additional insurance?
The Owners Corporation Insurance covers the building, the common areas and contents, legal liability, workers compensation, fidelity guarantee and office bearers insurance.
It is important that you realise that the Owners Corporation does not include contents, personal belongings or public liability of the individual lot or occupants.
If you are an owner occupier, it is recommended that you take out your own individual contents insurance.
If you are an owner investor, it is recommended that you take out Landlord insurance.
Please note that if you have carpets and floating floorboards that you contact your current Owners Corporation and confirm if these fixtures are covered under your Building Policy, if they are not we recommend you have these covered under your personal insurance.
How are the Owners Corporation fees calculated?
The annual budget required to meet the anticipated expenditure is divided by the lot liability for each unit. You can confirm your lot liability, by reviewing your plan of subdivision.