The strata insurance market has seen the recent addition of three new policies to market in the residential space and two to the commercial space. All new offerings are underwritten by Lloyd’s and are provided by two new underwriting agencies and one returning.

Little has occurred in terms of policy updates however this is expected after the significant amount of PDS changes occurring in 2021.

The additional products available will assist strata schemes greatly and will drive competition in both offering and price.

Methodology

Our Rating methodology has remained the same since inception and considered the following:

1. Who is the insurer?

2. Is the policy an Insured Events policy or a Broadform Accidental Loss/Damage policy?

3. Is the product freely available to purchase?

4. How comprehensive is the wording?

Full detail of our methodology can be found here.

What Ratings Changed?

On the Residential policy front, the Suncorp underwritten Resilium and RACQ products have removed their offerings from the market. The new Hutch and isStrata along with returning QUS products have achieved a Silver rating for 2023.

Moving to Commercial policies and the isStrata and QUS products have achieved a Silver rating.

More Competition

With three new underwriting agencies supplying the sector, schemes may now have more options at renewal time.

It is to be seen however the exact direction these providers will take as they all rely on Lloyd’s as the incumbent insurer. Lloyd’s had all but left the sector by the end of 2021 so their return may be a guns blazing event or a cautiously slow re-entry to the market.

As market participants arrive and depart, the stability of the Platinum rated products appears to further solidify as the years stack up with no changes to the underwriting structure and true long term healthy relationships between the underwriting agent and security.

So, there you have it – the StrataRatings awards for 2023!

Come and check out which Rating your policy achieved here.