B.C. Strata Insurance Gaps, Special Levies & Unit-Owner Coverage
The Province says owner insurance can include additional protection when strata corporation coverage is inadequate, including situations where the corporation's deductible or repair costs exceed policy limits and a special levy may result.
Why a corporation policy can still leave an owner with a bill
A strata corporation can have valid insurance and still face a large deductible, uninsured peril, exclusion or repair amount above the policy limit. The Province notes that owner insurance can provide additional coverage in some situations where the corporation's insurance is inadequate and an insurance-related special levy results.
A special levy is not automatically covered
The fact that owners receive a special levy does not by itself mean a personal condo policy will pay it. Coverage depends on why the levy was imposed, which insured loss caused it, the owner's policy wording and the applicable limit or exclusion. The source of the levy has to be matched to the contract.
Review deductible assessment and loss assessment separately
Policies can use different language for an owner's responsibility for a corporation deductible and for broader loss-assessment or special-assessment exposure. Owners should compare these terms against the current strata insurance summary rather than assuming a single add-on covers every corporation shortfall.
Material insurance changes should reach owners
The Strata Property Act requires the corporation to inform owners and tenants as soon as feasible about material changes to its insurance coverage, including increases in deductibles. Those notices are useful triggers for an owner to re-check the personal condo policy instead of waiting until the next renewal automatically.
Use the current strata insurance summary
B.C. requires strata corporations to review insurance annually and report on coverage at the AGM. Material changes, including deductible increases, must be communicated to owners and tenants. Those updates are a practical trigger to review the personal condo policy.
Open the B.C. strata insurance hub →