Western Australian Current Acts

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53C .         Insurance for common property in single tier strata schemes

        (1)         The strata company for a scheme shall —

            (a)         insure and keep insured any building, or part of a building, or improvement on the parcel that is common property; and

            (b)         effect and maintain insurance in respect of damage to property, death or bodily injury for which the proprietors of lots in the scheme could become liable in damages as holders of the common property.

        (2)         The strata company does not have the obligations described in subsection (1) if —

            (a)         there is no common property in the scheme except —

                  (i)         cubic space in which there is no building or improvement above or below the horizontal boundary of any lot; or

                  (ii)         fencing on the boundary of the parcel or any lot;


            (b)         the strata company has by resolution without dissent (or unanimous resolution in the case of a two-lot scheme) determined that subsection (1) is not to apply to the scheme.

        (3)         A resolution under subsection (2)(b) remains in force until —

            (a)         it is revoked; or

            (b)         it ceases to have effect under subsection (4).

        (4)         A resolution of a strata company under subsection (2)(b) ceases to have effect if a proprietor at any time after the passing of the resolution serves notice in writing —

            (a)         on the strata company; or

            (b)         in the case of a two-lot scheme, on the other proprietor,

                that he requires that subsection (1) apply to the scheme.

        (5)         While a resolution under subsection (2)(b) is in force —

            (a)         whether there is insurance in respect of —

                  (i)         the share of a proprietor in any building in the scheme that is common property; or

                  (ii)         damage to property, death or bodily injury for which a proprietor of a lot in the scheme could become liable in damages as the holder of a share in the common property;


            (b)         the occurrences to be insured against by a proprietor in relation to those matters; and

            (c)         the terms on which any insurance is obtained,

                are at the discretion of the proprietor.

        [Section 53C inserted: No. 61 of 1996 s. 25.]

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