Generators in the body corporate environment

[Updated: 22 August 2025]

More and more building owners are installing generators to provide backup electricity power. These are usually larger schemes with more extensive common property lighting, security and access control systems.

Generators must be specified

For purposes of insurance, these permanently fixed generator installations would be deemed as being ‘machinery’ and forming part of the building. It should be noted and specified for cover in the insurance policy. These installations should comply with regulations/national standards with regard to safety requirements for the wiring of the premises. Insurers may reject any insurance claims due to non-compliance with these minimum safety requirements. It stands to reason that an electrical certificate of compliance must be obtained from the installation contractor for any generator that is linked to the electrical distribution board.

It is important to note that insurers make ‘machinery breakdown’ cover conditional upon the machinery being regularly and routinely maintained by a suitably qualified and reputable contractor, by way of an annual maintenance contract.

What are the dangers associated with generators?

The obvious dangers associated with generators are carbon monoxide gas poisoning, electric shocks/electrocution, fire and burns. It stands to reason that these installations should not be placed in confined spaces but rather in an area with adequate ventilation. It is also advised to place/mount a 4.5 kg dry chemical powder fire extinguisher in proximity to the generator installation.

There is also the matter of the storage of fuels. Where large amounts of liquid and flammable fuels are held in storage (say more than 20 litres), it would be prudent to notify the building’s insurers accordingly and confirm the manner in which these fuels are safely stored.

Portable generators

In the case of individual owners, whether residential occupancy or business, it is also quite common to see privately owned portable generators being used. These are clearly the responsibility of the unit/section owner to insure privately, where they are not the property of the body corporate. If the body corporate does acquire a small portable type generator for any reason, then it should be specified for cover on an all-risk basis to enjoy the widest cover, including theft.