Solutions

Spread the year's insurance premium across 10 manageable instalments.

Two payments up front, eight monthly. Zero owner-paid fees. The same logic that's powered the accounting profession for decades, brought to Owners Corporations.

The structure is the product.

We pay your insurance premium in full to the insurer on your behalf. The Owners Corporation repays us across ten instalments — with two payable up front and the remaining eight spread evenly across the next eight months.

That single design choice is what smooths cash flow, aligns insurance costs with levy collection, and keeps the funding cost from ever landing on an individual lot owner's bill.

10
Instalments
2
Up front
8
Monthly thereafter
What it looks like over time

Ten instalments, eight months, one calm year.

Cash flow predictability is the entire point. Two upfront payments at funding settlement, then eight evenly-spaced monthly payments. No surprises, no large draws on the sinking fund.

Indicative payment schedule

An illustration of how a typical funding arrangement is repaid month by month.

1a
Upfront
1b
Upfront
2
Monthly
3
Monthly
4
Monthly
5
Monthly
6
Monthly
7
Monthly
8
Monthly
9
Monthly
Two upfront payments at funding settlement
Eight monthly instalments thereafter
The logic, unpacked

Why Australia's accountants pioneered this — and why strata is the natural next adopter.

One of the largest markets for Insurance Premium Funding has long been the accounting profession, paying their substantial Professional Indemnity premiums. The reasoning translates directly to Owners Corporations.

The accountant's reasoning

"Cash retained inside the practice is cash that builds wealth."

Accountants understand the time value of money intuitively. A large annual PI premium paid up front locks up working capital that could be earning, growing, or covering an unexpected expense. Spreading the premium across the year is the rational play.

The strata translation

"Cash retained inside the OC is cash for actual building maintenance."

An Owners Corporation paying a full annual premium up front drains the sinking fund or forces a special levy. Spread that premium over the year and the OC keeps reserve capacity for the things sinking funds are actually for — lifts, roofs, common-area work that can't wait.

Where it fits

Three scenarios where premium funding is the obvious call.

Not every Owners Corporation needs premium funding. But for buildings facing one or more of these pressures, it's almost always the cleaner path.

01 / BUILD A BUFFER

You want to retain working capital across the year.

Premium funding turns a single large outflow into ten manageable ones, keeping cash available for committee-approved spend that actually builds asset value.

02 / ALIGN TO LEVIES

Your levy collection rhythm doesn't match insurance timing.

If insurance falls due before quarterly levies are collected, funding bridges the gap so the building stays covered and the OC isn't forced into a short-term special levy.

03 / PROTECT THE SINKING FUND

You'd rather not draw down the sinking fund for an annual expense.

Sinking funds exist for lifts, roofs and common-area capex. A single insurance bill shouldn't compromise the reserves the building has set aside for genuine long-term maintenance.

Common questions

Things committees and managers ask us most.

Are there any fees the individual lot owners pay?

No. The cost of premium funding is built into the funding arrangement itself, repaid by the Owners Corporation from levy income. Individual lot owners don't pay anything extra to us.

How long does it take to get an indicative quote?

We commit to an indicative quote within 24 hours of receiving a complete application. For applications lodged through an integrated strata management platform, where the data flows through pre-populated, this is typically much faster.

Does the insurer get paid in full, on time?

Yes. We pay your insurer the full premium amount on the policy's start date. The Owners Corporation then repays us across the ten-instalment structure. The insurance cover itself is in no way contingent on the OC's repayment progress.

What happens if the OC has trouble making a repayment?

We have a Financial Hardship Guidelines policy that sets out how we work with Owners Corporations facing genuine repayment difficulty. The first step is always to talk to us early — you can read the full Financial Hardship Guidelines in our legal information page.

Do we need to apply through a strata manager?

No. While most applications come through accredited strata managers (often pre-populated from their management system), Owners Corporations can apply directly via our online application form.

See what the structure looks like for your building.

Apply online and receive an indicative quote within 24 hours.

Apply for Funding Or call 03 9134 7567 to talk it through.