Building Insurance Valuation
Post date: Mar 30, 2017 3:38:37 AM
The owners corporation for a strata scheme for the whole of a building must insure the building in accordance with section 83 of the Strata Schemes Management Act 1996.
As prescribed under the Section 82 (Damage policy) of the Strata Schemes Management Act 1996, the assessment is based on the calculation of the 'replacement value' for rebuilding of the building or its replacement by a similar building in the event of the building being destroyed or damaged, so that every part of the rebuilt building or the replacement building is in a condition no worse or no less extensive than that part (portion) or its condition when that part (portion) was new.
This valuation report is for insurance purposes and it is not an assessment of the market value of the property.
Valuer needs to sight the current Certificate of Insurance Policy showing the current sum insured and the renewal date.
If the building owned by the owners of company, valuer needs to sight the Articles of Association or Constitution that is including the Floor Plans set out in Schedule of the memorandum. Otherwise, valuer needs to measure the whole building.