By now we have become familiar with Prescribed Management Rule (“PMR”) 23.(2)(b) of Annexure 1 of the Regulations to the Sectional Titles Schemes Management Act 8 of 2011 (“the STSMA”) which deals with who should pay the excess following an insurance claim.
It reads as follows:
“A member is responsible –
for any excess amount that relates to damage to any part of the buildings that member is obliged to repair and maintain in terms of the Act or these rules, and must furnish the body corporate with written proof from the insurer of payment of that amount within seven days of written request.”
In this scenario, the front door and a security gate were damaged following a break-in (the whole door was damaged and the security gate was only partially damaged).
Let’s say that the security gate costs R4,000 to repair and the front door costs a further R3,000 to reinstate.
The total claim amounts to R7,000 with an excess of R1,000 applied, the insurer settles for R6,000.
Who is responsible to maintain, repair and/or replace the front door and the security gate?
Prescribed Conduct Rule (“PCR”) 4 of Annexure 2 of the Regulations to the STSMA deals with Damage to Common Property and sub-rules 4.(2) and 4.(3) deal specifically with locking or safety devices.
These conduct sub-rules read:
“(2) An owner or occupier of a section must be considered to have the trustee’s consent to install a locking or safety device to protect the section against intruders, or a screen to protect entry of animals or insects, if the screen or device is soundly built and is consistent with a design, colour, style and materials approved in writing by the trustees.
(3) The owner or occupier of a section must keep a device installed under sub-rule (2) in good order and repair.”
As we know, the front door itself is always dealt with on a 50/50 basis as the median line runs through the middle of the door. This means that the owner of the section and the body corporate would be equally responsible and liable. As the whole door needs to be replaced, the excess portion for the front door can be applied on a similar 50/50 basis.
As the member is obliged to repair the security gate in terms of the above, the affected owner is obliged to pay the excess portion for the security gate.
In summary, here is the pro rata costs of repairs in this practical scenario:
- Security gate R4,000 (57%) (excess R570)
- Door R3,000 (43%) (excess R430)
- Total R7,000 (excess R1,000)
- Body corporate to contribute 50% of R430, i.e. R215)
Therefore, of the R1,000 excess
- Owner pays R785
- Body corporate pays R215
Always check the body corporate’s amended management rules first, as the body corporate may have delegated its function of maintenance, repair and/or replacement of the common property adjacent to a section to the owner directly. One should further consult the sectional plans of the body corporate as you would need to confirm that the front door is in fact situated on the boundary between the section and common property, and not on the section or an exclusive use area.
Author: Mike Addison
Addsure is South Africa’s leading sectional title insurance brokerage. Obtain fit and proper advice from advisors who understand sectional title. Contact our head office, Cape Town (021) 551 5069 who will put you directly in touch with one of our nationwide advisors.
With grateful thanks to Zerlinda van der Merwe of TVDM Consultants for legal input and editing of this article.