Essentially, these three names define the same thing. They refer to the person, or group, responsible for taking care of the individual lot owners within a strata title scheme.
Their responsibilities include administration, management, and maintenance of the property. They usually make decisions through meetings and may appoint a committee to handle day-to-day affairs.
Each state in Australia has its own strata title legislation and their own terminology. We use the different names to specify strata management and regulations depending on the state:
• New South Wales – Owners Corporations
• Queensland – Body Corporate
• Victoria – Owners Corporations
• Australian Capital Territory – Owners Corporations
• South Australia – Body Corporate
• Tasmania – Body Corporate
• Western Australia – Strata Company (title)
• Northern Territory – Body Corporate
If you own property affected by an owners corporation then you become a member of that owners corporation automatically. As a member, you have legal and financial responsibilities to the owners corporation.
Payment Obligations:
Communication and Compliance:
Maintenance and Management:
Common property refers to land or assets that aren’t owned by any one person in the strata scheme. Instead, it is property that everyone collectively owns and shares. It may include:
• Gardens
• Passages
• Walls
• Pathways
• Driveways
• Stairs
• Lifts
• Foyers
• Fences
To understand the difference between individually-owned property and common property, it’s important to make boundaries clear. For example, how far the common property extends up to, or into the buildings themselves. This helps prevent conflict between lot owners who might incorrectly think common property belongs to them.
A committee consists of a group of owners elected at each Annual General Meeting (AGM). The committee is responsible for representing all the lot owners of the strata scheme, and has to decide on all matters which confront the body corporate.
When the committee gets together, the members might discuss and decide things like the control, maintenance and repair of the common property. They might also have to enforce the existing rules of the scheme, or agree on new rules if necessary.
Strata insurance is a type of insurance designed for strata-titled properties, such as apartment blocks, townhouses or commercial buildings. It typically covers common property and shared areas, providing protection for the entire building structure, common facilities, and liability for the Body Corporate/Owners Corporation/Strata Corporation. Individual unit owners usually need to secure separate insurance for their personal belongings and any structural elements not covered by strata insurance.
Insurance is important to protect your owners corporation and the personal assets of all lot owners. The law sets out the minimum insurance required.
The minimum insurance required for an owners corporation is (except for two-lot subdivisions and owners corporations which only have shared services):
Firstly, insurance is compulsory for strata schemes, no matter where you live. That’s because injuries can occur to people on common property, or the common property itself can be damaged. In those cases everyone needs to be protected.
Here’s what you can expect strata insurance to cover:
• Theft or damage to common area contents, like shared outdoor furniture, gym equipment or the building itself.
• Theft or damage to common property assets like gardens, lobbies, car parks, pools and stairwells.
• Repairs to damaged property.
For more information, contact our insurance partners:
• CHU Residential Strata Insurance
• CHU Residential Commercial Strata Insurance
• Whitbread Strata Insurance
Click on the links below to download a copy of your insurer’s Product Disclosure Statements (PDS) & Policy Wording or Financial Services Guide (FSG)
CHU
CHU Residential Strata Insurance Plan (PDS)
CHU Commercial Strata Insurance Plan (PDS)
CHU Community Association Insurance (PDS)
CHU Lot Owners Homes Insurance (PDS)
CHU Build to Rent – Residential Insurance (PDS)
CHU Financial Services Guide (FSG)
Honan
Honan Document Library (PDS & FSG)
Whitbread
Whitbread Strata Insurance (PDS)
Whitbread Strata Insurance (FSG)
SUU
SUU Residential and Commercial Strata Wording (PDS)
Strata Community Insurance
Strata Community Insurance – Residential & Commercial Strata Insurance (PDS & FSG)
Axis
Axis Underwriting – Residential Strata Policy (PDS)
Axis Underwriting – Commercial Strata Policy (PDS)
QUS
QUS Strata Select Insurance (PDS & FSG)
CHUBB
Chubb Owners Corporation Elite Package (PDS)
Chubb Commercial Strata Elite Package (PDS)
Chubb Financial Services Guide (FSG)
Longitude
Longitude Residential & Commercial Strata Insurance (PDS)
Hutch Underwriting
Hutch Residential Strata Plan Product Disclosure Statement
Hutch FSG
The lot entitlements and lot liabilities are set out in the plan of subdivision.
• “Lot entitlement” refers to your share of ownership of the common property and determines your voting rights.
• “Lot liability” represents the share of Body Corporate expenses that each lot owner is required to pay.
The developer determines these entitlements and liabilities at the time of subdivision. There are some developments where all lot entitlements and liabilities are the same. But there are equally as many where they can be quite different. It is important to understand what fees you will be paying compared to your neighbours.
No. Each state and territory has their own legislation, and strata management legislation terminology may differ from other states and territories.
Northern Territory
The legislation affecting Body Corporates in the Northern Territory of Australia are the Unit Titles Schemes Act (2009) and the Unit Title Schemes (Management Modules) Regulations 2009.
The dispute resolution body in is the Northern Territory Civil and Administrative Tribunal (NTCAT).
Queensland
The legislation affecting Bodies Corporate in Queensland are the Body Corporate and Community Management Act 1997 and Body Corporate and Community Management Regulations 2008.
The relevant dispute resolution body is the Queensland Civil and Administrative Tribunal (QCAT).
Australian Capital Territory
The legislation affecting Owners Corporations in ACT is the Unit Titles (Management) Act 2011 (ACT) (UTMA).
The dispute resolution body is the ACT Civil & Administrative Tribunal (ACAT).
Western Australia
The legislation affecting bodies corporate in Western Australian are the Strata Titles Act 1985, Interpretation Act 1984, State Administrative Tribunal Act 2004, and Strata Titles General Regulations 2019.
The legislation affecting bodies corporate in Western Australian are the Strata Titles Act 1985, Interpretation Act 1984, State Administrative Tribunal Act 2004, and Strata Titles General Regulations 2019.
Tasmania
The legislation affecting Body Corporate in Tasmania is the Strata Titles Act 1998, Fire Service Act 1979, Strata Titles (Insurance) Regulations 1999, and General Fire Regulations 2000.
The relevant dispute resolution bodies are the Recorder of Titles, Land Titles Office, Department of Primary Industries and Water.
New South Wales
The legislation affecting Owners corporations in NSW is the Strata Schemes Management Act 2015. The rules, contained in this legislation and the Strata Schemes Management Regulations 2016, provide the entire requirements and conditions for the running and operation of every type of Strata Scheme in NSW today. Other important legislation that affects Owners Corporations in NSW include the Property, Stock and Business Agents Act 2002, Community Land Management Act 1989 and the Property, Stock and Business Agents Regulation 2014.
The relevant dispute resolution body covering strata management is the NSW Civil and Administrative Tribunal (NCAT).
South Australia
The legislation affecting Strata Corporations in South Australia are the Strata Titles Act 1988, Community Titles Act 1996, Strata Titles Regulations 2003, and Strata Titles (Fees) Regulations 2001.
The dispute resolution body in is the Residential Tenancy Tribunal (Office of Consumer and Business Affairs Tenancies).
Victoria
In Victoria, the legislation governing Owners Corporations is the Owners Corporations Act 2021. This legislation outlines the rights and responsibilities of Owners Corporations and their members. Disputes within Owners Corporations are resolved through the Victorian Civil and Administrative Tribunal (VCAT), which provides a forum for resolving disputes fairly and efficiently.
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