A subsidiary body corporate under the Building Units and Group Titles Act 1980 (BUGT Act) must have insurance for:
The specified Acts do not talk about insuring buildings and common property.
This page applies to subsidiary bodies corporate that fall under the Building Units and Group Titles Act 1980.
These bodies corporate do not have a CMS recorded at Titles Queensland.
If your body corporate has a CMS and a community titles scheme (CTS) number, it falls under the Body Corporate and Community Management Act 1997.
If you’re not sure which Act your body corporate falls under, contact Titles Queensland to find out.
Learn more about the Acts affecting some bodies corporate.
If your body corporate does have a CMS, learn about building insurance in that case.
The insurance a subsidiary body corporate must have depends on which survey plan it is registered under.
The 2 common types of survey plan are:
Contact Titles Queensland to get a copy of your body corporate’s registered survey plan.
Read about other compulsory insurance.
Developments that are registered under a building units plan of subdivision are usually multi-storey buildings. An example is a block of residential units. Some townhouses can also be registered under a building units plan.
In this type of development, a body corporate must insure any buildings shown on the plan.
Low-rise developments are usually registered under a group titles plan of subdivision. An example is a townhouse complex where there is a building on each lot with a backyard or courtyard.
The body corporate does not need to insure buildings on a lot under a group titles plan.
If a building on a lot shares a wall with a building on another lot, the owner is responsible for insuring the building on their lot. They must take out insurance up to the value needed to reinstate or replace the building.
The legislation says a subsidiary body corporate must insure, under a ‘damage policy’:
Section 54 of the BUGT Act defines damage policy and building.
A damage policy is insurance that covers a building or common property (including improvements) in case they are destroyed or damaged by:
The insurance that a body corporate takes out for buildings and common property must:
A building means any building shown on the plan but does not include a ‘proprietor’s fixture’.
A proprietor’s fixture is usually a structure or fixture installed by an owner, exclusively for the use and enjoyment of a lot. See section 54 of the BUGT Act for further information about a proprietor’s fixture.
