Is a leaking balcony covered by insurance?
A leaking balcony is covered by insurance only if the damage was caused by a sudden, identifiable event such as a storm. If the leak results from deteriorated waterproofing, ageing materials, corrosion or gradual failure, it is usually classified as wear and tear and not covered.
Why is failed waterproofing under tiles not considered sudden?
Although the first visible leak may appear sudden, the waterproofing membrane typically deteriorates over time. Insurance looks at the cause of the damage, not when it first becomes visible. Gradual deterioration is generally excluded under most policies.
Can insurance cover the damage to the section below?
Insurance may cover the sudden resultant damage, such as ceiling or wall damage in the section below. However, the worn-out waterproofing or failed balcony surface itself is usually not insured if the cause is wear and tear related.
Who is responsible for repairing a leaking balcony?
Responsibility depends on the sectional plan and scheme rules:
- If the balcony forms part of the section, the owner is responsible.
- If it is common property, the body corporate is responsible.
- If it is an exclusive use area, the benefiting owner is typically responsible for maintenance.
Each scheme should confirm responsibility by reviewing the registered sectional plan.
What if the balcony leaks every time it rains?
If the balcony leaks repeatedly, it is almost always a wear and tear or life cycle issue rather than an insurance claim. Insurance covers sudden events, not ongoing deterioration.
How should trustees or managing agents respond to a balcony leak?
Trustees and managing agents should determine whether the damage was sudden or gradual, inspect the waterproofing and drainage, review the sectional plan, notify the insurer if there is a potential insured event, and address the issue promptly to prevent further damage.