Collective Insurance Brokers plans to tap rising demand for specialist expertise in the growing strata sector, using a shared-equity model.
MD Jason Starr-Thomas says the business will enter joint-venture partnerships with strata managers, which will then operate as authorised representatives of Collective.
“In that way, the strata manager has an interest in the brokerage servicing their clients,” he told insuranceNEWS.com.au.
Collective started trading in May, with Steadfast as an investor. It has won customers in NSW, the ACT and Queensland. Mr Starr-Thomas was previously head of marketing at Steadfast-owned underwriting agency CHU, which specialises in strata, and COO at strata company Pica.
“Having a background as a strata manager and on the insurance side, I saw a definite opening to bring those two parts together and create something different in the market,” he said.
A recent report funded by the Strata Community Association found Australia’s strata and community title sector has grown to about 2.6 million title lots with an insured value of $995 billion.
Mr Starr-Thomas says strata is the fastest-growing property sector, and is dealing with challenges such as fire concerns around some exterior wall cladding.
“A specialist broker is important because they understand the issues facing the strata sector,” he said.