BODY CORPORATE AND COMMUNITY MANAGEMENT (ACCOMMODATION MODULE) REGULATION 2008 No. 270 - SECT 178 178 Insurance for buildings with common walls [SM, s 180]

BODY CORPORATE AND COMMUNITY MANAGEMENT (ACCOMMODATION MODULE) REGULATION 2008 No. 270 - SECT 178

(1) This section applies if--

(a) 1 or more of the lots included in the community titles scheme are created under a standard format plan of subdivision; and

(b) in 1 or more cases, a building on 1 lot has a common wall with a building on an adjoining lot.

(2) The body corporate must insure each building mentioned in subsection (1)(b) for its full replacement value.

(3) A policy of insurance taken out under this section--

(a) must cover--

(i) damage; and

(ii) costs incidental to the reinstatement or replacement of the buildings, including the cost of taking away debris and the fees of architects and other professional advisers; and

(b) must provide for the reinstatement of the buildings to their condition when new; and

(c) may give effect, in whole or part, to a voluntary insurance scheme.

(4) The body corporate is liable to pay any contribution that has to be made to the cost of reinstatement or repair because the reinstatement insurance is not for the full replacement value of the insured property.

(5) The body corporate need not insure a building or a part of a building under subsection (2) if--

(a) the scheme is a subsidiary scheme for another community titles scheme (the other scheme); and

(b) under subsection (2) or an equivalent provision of another regulation module, the body corporate for the other scheme is required to insure the building or the part of the building.