Liability Insurance :: News
SHARE

Share this news item!

What NSW Emergency Services Levy Reform Could Mean for Strata Communities

Premium relief may depend on how costs shift through renewals, levies and scheme budgets

What NSW Emergency Services Levy Reform Could Mean for Strata Communities?w=400

The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.

New South Wales strata communities should keep a close watch on renewed efforts to reform the way emergency services are funded through insurance premiums.
The long-running concern is that adding emergency services charges to insurance bills can make cover look more expensive, particularly for apartment buildings, mixed-use schemes and larger owners corporations already managing high rebuilding values and complex risk profiles.

For strata committees, the key point is that levy reform would not necessarily make emergency services funding disappear. Instead, it may change where the cost appears and how it is shared. If charges move away from insurance premiums and towards another property-based mechanism, annual renewal invoices could become easier to read and compare, but scheme budgets may still need to account for a replacement charge elsewhere. That distinction matters when owners are trying to understand whether a premium has genuinely fallen or whether a cost has simply moved from one line item to another.

The reform discussion is especially relevant because strata insurance is compulsory for many schemes and often represents one of the largest annual expenses paid from administrative funds. Buildings with lifts, basements, pools, commercial tenancies or exposure to flood, storm and bushfire can face added underwriting scrutiny. In that environment, clearer pricing could help committees compare cover options more confidently, provided they look beyond the headline premium and review the full schedule of charges, excesses, limits and exclusions.

Owners corporations should also avoid treating any policy-cost reduction as a signal to reduce cover. The insured value of the building should still be based on realistic reinstatement costs, not market value or last year’s premium. Rising construction costs, debris removal, professional fees and temporary accommodation exposure can all affect the amount required after a major loss. Before renewal, committees should revisit recent valuations and use practical rebuild cost estimates as a starting point for discussions with their insurer or adviser.

The broader lesson is that tax and levy reform can improve transparency, but it does not replace disciplined insurance governance. Committees should ask their strata manager to separate base premium movements from statutory charges, obtain a clear explanation for any major increase or decrease, and minute the reasons for renewal decisions. If reform progresses, schemes that already maintain good records, current valuations and transparent owner communication will be best placed to explain what has changed and whether the outcome genuinely improves affordability.

Published:Saturday, 1st Aug 2026
Author: Paige Estritori

Please Note: We do not endorse any specific products or companies. Some content is sourced from third parties, including press releases, and may not be independently verified for accuracy or completeness.

Share this news item:

Rate this article

0 Comments

No comments yet. Be the first to share your thoughts.

Insurance News

What NSW Emergency Services Levy Reform Could Mean for Strata Communities
What NSW Emergency Services Levy Reform Could Mean for Strata Communities
01 Aug 2026: Paige Estritori
New South Wales strata communities should keep a close watch on renewed efforts to reform the way emergency services are funded through insurance premiums. The long-running concern is that adding emergency services charges to insurance bills can make cover look more expensive, particularly for apartment buildings, mixed-use schemes and larger owners corporations already managing high rebuilding values and complex risk profiles. - read more
Insurance Complaints Put Claims Preparation Back in Focus
Insurance Complaints Put Claims Preparation Back in Focus
01 Aug 2026: Paige Estritori
The Australian Financial Complaints Authority’s latest reporting has again highlighted insurance as a major source of disputes, with claim delays, communication breakdowns and disagreements over policy outcomes remaining common pressure points. For domestic and home service businesses, the message is practical: the strength of a policy is often tested not when it is bought, but when a claim is made. - read more
What Storm Claims Teach Freelancers About Cover
What Storm Claims Teach Freelancers About Cover
01 Aug 2026: Paige Estritori
The insurance fallout from Ex-Tropical Cyclone Alfred is a timely reminder that severe weather is not just a household issue. For Australian freelancers, consultants and sole traders, a storm can interrupt work, damage essential equipment, delay client delivery and expose gaps in cover that only become obvious at claim time. - read more
Why Trainers Should Recheck Cover as Costs Rise
Why Trainers Should Recheck Cover as Costs Rise
01 Aug 2026: Paige Estritori
Fresh industry commentary on business underinsurance is a timely reminder for personal trainers, fitness instructors and small studio owners to look beyond the headline price of a policy. While parts of the commercial insurance market have become more competitive, rising replacement costs and changing business models can still leave fitness operators exposed if their cover has not kept pace. - read more


Business Insurance Articles

Professional Indemnity vs Public Liability: What's the Best Choice for Your Small Business?
Professional Indemnity vs Public Liability: What's the Best Choice for Your Small Business?
As a small business owner, understanding the intricacies of liability insurance is pivotal to safeguarding the fruit of your hard work. Insurances such as professional indemnity and public liability are not just safety nets; they are vital components that can mean the difference between bouncing back and closing down following unforeseen legal hurdles. - read more
How to Assess Your Risk Exposure and Select the Right Indemnity Coverage
How to Assess Your Risk Exposure and Select the Right Indemnity Coverage
Professional indemnity insurance stands as a pivotal safeguard for Australian professionals navigating the intricacies of liability in their work life. This form of insurance is designed to protect professionals against legal costs and claims for damages arising from acts, omissions, or breaches of professional duty in the course of their practice. Whether it's due to an honest mistake or an unforeseen error, the ramifications of such professional oversights can be financially crippling. - read more
Critical Risk Management Strategies for Every Australian Tradesman
Critical Risk Management Strategies for Every Australian Tradesman
Welcome to the crucial world of risk management for Australian tradesmen. Whether you're a seasoned professional or just starting, understanding and mitigating the inherent risks in the trades industry is paramount to both the safety and sustainability of your business. This article intends to guide you through the world of risk management, emphasizing the pivotal role of liability insurance. - read more
How to Choose the Right Public Liability Insurance for Your Business
How to Choose the Right Public Liability Insurance for Your Business
Choosing public liability insurance is not just about comparing premiums. Australian businesses should understand policy limits, exclusions, excesses, endorsements and conditions before deciding whether a policy is appropriate for their risks. - read more


Start Here !
Start here!
Cover Amount:
Postcode:

All quotes are provided obligation-free by a participating broker from our national referral partner network. We respect your Privacy.


Knowledgebase
Insurance Underwriter:
An insurance company, a financial institution that sells insurance.