Alberta's New Condominium Regulations: Insurance.

• Author: Feng, Judy
• Position: HOUSING

On January 1, 2020, revised condominium governance regulations came into effect in Alberta. This article is part of a multi-part article series on Alberta's new condominium regulations. Stay tuned for our next article on repairs.

The previous incarnation of the regulations primarily addressed the type of insurance condominium corporations were responsible for. For example, condominium corporations must maintain insurance to protect common property and condo units against loss resulting from destruction or damage. The new regulations further clarify:

* the condominium's requirement to maintain insurance on condo units

* what the condominium corporation's insurance does not cover

* the types of additional insurance condominium corporations may impose on owners, and

* claim back on insurance deductible from owners.

Clariflcation on condo unit insurance

Under the new regulations, the amount of insurance that a condominium corporation must have on condominium units depends on the type of unit. For example, condominium corporations must, at a minimum, place and maintain the following amount of insurance:

Type of unit Amount of insurance Residential units on Replacement value of the parcel (other than those the units and of the fixtures owned by the developer) and finishing in the units (as described in the standard insurable unit description OR SIUD) Residential units on the Replacement value of parcel owned by the units and of the fixtures and developer finishing as they existed at the time of the condominium plan's registration Non-residential units Replacement value of on the parcel used in the units and of the fixtures connection with a and finishing, as were residential purpose typically provided to (e.g., parking purchasers by spaces and storage a developer units for owners) All other non-residential The replacement value units on the parcel of the units, excluding the replacement value of any fixtures and finishing in the unit Units on the parcel The replacement value owned by the corporation of the units and of the fixtures and finishing in the unit A corporation can increase the amount of insurance for residential units on the parcel (other than those owned by the developer) to reflect a higher replacement value. This may happen if there are variations from the standard insurable unit descriptions.

Going hand in hand with the clarification on condo unit insurance, we now have a legislative definition for the standard insurable unit...