Quick Answer
Your strata’s insurance policy covers the building and common property, but not your personal belongings or most upgrades inside your unit. If there’s a damage claim, the strata’s deductible can be charged back to you if the incident started in your suite, and deductibles have grown much larger in BC in recent years. Owners should always carry their own condo insurance policy that matches their building’s deductible and covers personal liability.
What does strata insurance actually cover (and what doesn’t it)?
Strata insurance in BC protects the building’s structure, common areas, and original fixtures as built by the developer. It covers perils like fire, water escape, and certain types of accidental damage affecting the entire complex.
However, strata insurance does not cover:
- Your personal belongings (furniture, electronics, clothing)
- Upgrades or improvements inside your unit (e.g., hardwood floors, custom cabinets)
- Personal liability for events inside your unit For these, you need your own condo (homeowner) insurance policy.
How do strata insurance deductibles work for owners?
Strata insurance policies include a deductible—the amount paid before insurance kicks in—which can be $25,000 or even much higher for water damage claims in many BC buildings.
If damage originates in your unit (for example, a kitchen pipe bursts), strata may charge you the full deductible amount. You are responsible for this, even if the building repairs are covered under the strata’s policy.
Owners in places like Vancouver and Richmond should check their building’s current insurance certificate to see deductible amounts, as these have risen sharply in the past few years.
Why do strata insurance premiums and deductibles keep rising?
Strata insurance costs have climbed due to more frequent and larger claims, especially for water damage, earthquakes, and building repairs. BC’s coastal climate and the complexity of some buildings have led insurers to increase premiums and deductibles.
High-value claims from leaky condos or major fires in Surrey and Burnaby, for example, make insurers cautious. Insurers also consider the building’s age, maintenance history, and past claims when setting prices.
Strata councils have little choice but to pass these costs on to owners through higher strata fees or by voting for budget increases at the AGM.
What insurance should you personally carry as a strata owner?
Every owner should carry a personal condo insurance policy that covers:
- Your contents (personal property)
- Upgrades (“betterments”) to your unit
- Personal liability
- Deductible coverage (often called “strata deductible assessment coverage”)
This helps protect you if you’re found responsible for a loss that triggers a strata insurance claim and deductible. It’s best to match your deductible coverage limit to the actual deductible on your building’s policy.
How do you find out your strata’s insurance details and where to ask questions?
You can request the current insurance certificate from your strata council or property manager, which lists coverage amounts, deductibles, and the insurer’s contact. This is your right under Section 35 of the Strata Property Act.
Review your strata’s annual AGM package—most include the current insurance policy summary and any recent changes. For a deeper look, some owners use tools like SearchStrata to analyze their building’s insurance documents and track changes from year to year.
Frequently Asked Questions
Does strata insurance cover my personal contents?
No, strata insurance does not cover your personal belongings. You need your own condo insurance to protect furniture, clothing, and other contents.
What happens if damage starts in my unit and affects other suites?
If a loss (like water damage) originates in your unit, you may be responsible for paying the strata’s insurance deductible, which can be substantial. Your personal insurance may help cover this.
What is deductible assessment coverage in condo insurance?
Deductible assessment coverage is part of your condo insurance that covers the cost if you are charged back the strata’s insurance deductible due to an incident starting in your unit.
How do I get a copy of our strata's insurance policy?
You can request the insurance certificate from your strata council or property manager, and it is also usually included in the AGM package or annual general meeting documents.
Can the strata increase insurance costs without owner approval?
Strata councils select the building’s insurance and must pay premiums. Increases in insurance costs are typically reflected in higher strata fees or budget adjustments, which may require owner approval at the AGM.
Conclusion
Strata insurance is a key part of living in a BC condo, but it doesn’t fully protect individual owners without proper personal coverage. Always check your strata’s current insurance details, confirm the deductible amount, and ensure your own policy matches it. If you want clarity on your building’s latest insurance documents, consider using SearchStrata to analyze and track the fine print. Staying informed puts you in control—before there’s ever a claim.