What Is A Certificate Of Currency & How To Get One

When you are looking to either buy or refinance a property, which includes an apartment, townhouse or villa that is part of a strata complex, you are usually asked to provide a Certificate of Currency.

A certificate of currency is a summary of what is included in the property insurance policy. The certificate is evidence that a lot, unit, townhouse, villa, etc, is part of the strata scheme and therefore is adequately insured by the existing strata insurance policy.

What Is Covered In A Certificate Of Currency?

The Certificate of Currency is a summary of the insurance policy that has been taken out on the property. It will typically include:

  • Details of the insured party such as the name and residential address of those insured (usually the the owners);
  • The policy details such as the policy number, Period of the policy i.e. commencement and expiration date and other cover in the policy such as liability to others, Voluntary Workers, Workers Compensation, Fidelity Guarantee, Office Bearers Legal Liability, Machinery Breakdown, Flood cover, Catastrophe Cover
  • How much the property is insured for (which is the limit to the protection covered);

When Do You Need A Certificate Of Currency?

Typically a Certificate of Currency is needed as part of the settlement process to prove that the lot/unit is part of a strata property has current and valid insurance, and will therefore protect the interested party in the case of any damage occurring to the building structure.

Who Might Ask For A Certificate Of Currency?

Those most likely to request a certificate of currency include:

  • mortgagees/lenders (Ie: Banks and finance companies),
  • mortgage brokers,
  • as well as solicitors and conveyancers.

You will need this document when financing or refinancing a property as the financial institution lending the money will become the “interested party” on the property. That is, they are insuring their investment in the property.

Requesting A Certificate Of Currency From Your Insurer

To request a Certificate of Currency, you will Can either contact your Strata Manager or insurance renewals team, or alternatively contact the Insurer or Broker with whom your insurance cover is bound with.. Once you have this document, you will be able to show details of what is insured and prove that the insurance is both valid and current for your lot or unit.

How Quickly Can I Obtain A Certificate Of Currency?

It’s best to request your certificate of currency as soon as you know that one is needed. Each insurance company will have different requirements and periods before they’ll be able to  issue your certificate..

Are There Different Types of Certificates of Currency?

There are two types of certificate of currency:

Generic Certificates will include the insured party details and confirmation that an insurance policy is effective and current. It will also include the names and residential or investment property addresses of the insured party.

Noted Certificate of Currency will include extra information such as the unit or lot number, the owner’s name, and also who the interested party is (the bank or financial institution who is loaning the money).

Why Do I Need A Certificate Of Currency For A Strata Property?

When purchasing a unit in a strata property and applying for finance, the buyer’s financial institution becomes the ‘interested party’ for the property, as the financial institution is investing their money in the property. The Certificate of Currency is required as part of the settlement process, to ensure that the unit is part of a property which is protected from a loss normally covered by the strata insurance, such as a fire.


A financial institution will usually request a Noted Certificate of Currency, which lists them as the Mortgagee or Interested Party for the property that is being financed.

How To Check Your Home Insurance Policy

If you’re trying to find out which home insurance policy type you have in place for your property, and the level of protection of your cover, you can contact your insurance agent who should be able to provide current copies. You can also go directly to the insurance company and ask them to send you a full copy which can include the premium paid if needed.

Often when you get an insurance renewal, you may only receive a declarations page or specific provisions document detailing the policy and level of cover. If you’re still unsure, you can do things like check previous bank statements for a past payment, or even ask your lender or mortgage provider (the person, company or bank where you have your home loan, or the broker who helped you establish your home loan).

Types of Insurance Cover For Strata Properties

If you own an apartment or unit in a strata property, then you don’t need to take out separate building insurance for your individual lot as this will have been organised by your body corporate / strata corporation.

Body corporates and owners, or strata corporations are generally required by law to hold suitable building insurance for the strata complex. This means that individual unit owners shouldn’t need to take out their own building insurance, as the building complex will already be covered for the cost of repairing physical damage to the structure, as well as covering any public liability claims.

Savvy unit owners will usually take out landlord insurance. The reason for the extra coverage is to guarantee that anything within the unit is also covered should something happen. This will include contents such as furnishings and furniture, carpets and blinds, and so forth. This is really important if you are renting out your property as it will cover you for the common risks associated with having a tenant in your property. Some of the items covered by landlord insurance include:

  • Theft or burglary by tenants
  • Damage or vandalism to your property by tenants
  • Loss of rent due to tenant default
  • Legal expenses involved in evicting a tenant.

If you don’t have landlord insurance, then you could potentially be liable for repair costs to your property should your tenants (or their guests) cause damage.

If you’re not sure of what level of cover you have,or if you have enough coverage, then a common rule of thumb is that ‘strata insurance stops at the apartment door’. This means that everything within your unit (other than some permanent fixtures such as stoves, toilets, bathtubs, etc) must be covered separately.