Malaysia Strata Title Insurance, Malaysia Property Management Insurance and Malaysia JMB Liability Insurance

Malaysia Strata Title Insurance, Malaysia Property Management Insurance and Malaysia JMB Liability Insurance

Malaysia JMB Insurance Organization (JMBIM) provide most comprehensive Malaysia Strata Title insurance or Malaysia JMB Insurance or Malaysia Building Management Insurance package for strata title Joint Management Body (JMB) or Management Corporation (MC) from apartments, condominiums, flats, office units, shopping mall retail outlets, shop units and commercial building units . It covers common risks beyond the standard coverage against fire, lightning, impact, flood, landslip, storm tempest, and water damage.
With the comprehensive strata title insurance package JMB or MC are able to extend the cover for the management office equipment and machinery to protect against accidental damage and theft, as well as protection against robbery and burglary for cash in your premises and errors and omission insurance (E&O).

Imagine a visitor accidentally falls whilst at your premises. This kind of incident could lead to millions in defense and negligence claims. Public Liability Insurance option eases that worry. The coverage helps pay your legal liability against third party property damage and bodily injuries. It will also pay all costs and litigation expenses incurred.

The JMB’s will have to hand over the maintenance and management of the said properties to the respective Management Corporations upon the issuance of Strata Titles . One of the requirement under Strata Title Act/ BCPMM Act is that the Management Body is required to insure and maintain adequate insurance.

Liability Insurance for MC/ JMC
The Insurer will pay for defense cost and settlement due to breach of duty by reason of any Negligent Act/ Errors and Omissions/ Wrongful Act during the Policy Period committed or allegedly committed by the Insured

Wrongful Act means any actual or alleged non-compliance of statutory duties under Building and Common Property ( Maintenance and Management ) Act 2007 (Act 663) and Part VI and VII of Strata Titles Act 1985 (Act 318) or any amendments thereto

* BCPMM – Building and Common Property Maintenance and Management

* JMB – Joint Management Bodies

Strata Title Property Insurance and Property Management Liability Insurance

The Building and Common Property (Maintenance and Management) Act 2007(” The Act”) coming into force on 12 April 2007 in the Peninsular Malaysia.

The powers and duties of the JMB are enumerated by Section 8 of the Act which stated

8. (1)(c) to insure and keep insured the building to the replacement value of the building against fire and such other risks as may be determined by the Body;

8. (1)(d) to apply insurance moneys received by the Body in respect of damage to the building for the rebuilding and reinstatement of that building;

8. (3) The Body shall be deemed—
(a) for the purposes of effecting any insurance under paragraph (1)(c), to have an insurable interest in the building equal to its replacement value or any value as determined by the Body; and
(b) for the purposes of effecting any insurance under paragraph (1)(d), to have an insurable interest in the subject matter of the insurance.


The Joint Management Body must insured the following insurance:

1. Fire & All perils Insurance (Min perils Subsidence & Landslip, RSMD & BOW)

Building – For all the units that is individually own including all the common property.
In this case when the purchaser have a Loan with the Bank, the purchaser need not buy an additional insurance and can use the individual “Certificate of Insurance” issued from the Master policy.

It should include the following clauses:-
Reinstatement Value (valuation report by an accredited quantity surveyor at least once in 5 years)
Removal of Debris
Architect & surveyor Fee

Rent Clause

2. Public Liability Insurance
Legal liability to pay compensation for accidental bodily injury or accidental damage to the property to the Visitors for using the common property of the Building.

Under Section 4 Establishment of a Joint Management Body
(2) The Body established by subsection (1) shall be a body corporate having perpetual succession and a common seal.
(3) The Body may sue and be sued in its name.
(4) The Body shall comprise the developer and the purchasers.


As the JMB is a body corporate the volunteered committee members can now be sued by the purchasers for Breach of Duty. An E&O or a PL policy to protected the personal liability of the individual committee.

3. Error & Ommission or Professional Liability Insurance

The Insurer will pay on behalf of any Insured all Damages resulting from any Claim for any Breach of Duty of the Insured.

N/B The policy should be placed immediately after the formation of the JMB.

Strata Title Risks Solution:

Products Offered:
Fire Insurance

Fire Consequential Loss Insurance
All Risk Insurance

Crime Insurance ( Burglary & Money Insurance)
Plate Glass Insurance

Machinery Breakdown Insurance
Public Liability Insurance
Property Terrorism
Error & Omission or Professional Indemnity for Joint Management Body (JMB) or Management Corporation (MC).