Standard insurable unit descriptions
Meeting alberta's SIUD needs
A standard insurable unit description (SIUD) defines all the standard finishings and fixtures that a corporation’s insurance will cover in the case of a loss.
Now required by law in the province of Alberta, this description is to include a detailed list of the various unit class types and excludes betterments made by individual owners. The purpose of an SIUD is to provide clarity for condominium boards and insurance companies as to what is covered under the corporation’s insurance and what must be covered by an owner’s insurance.
According to the Alberta Government website, the SIUD should contain information that describes the unit property that the corporation expects its insurer to rebuild or replace following an insurable loss.
The SIUD should, at a minimum, describe the following fixtures and finishings:
- floor coverings, wall coverings and ceiling coverings
- electrical lines and fixtures, including lighting fixtures
- plumbing lines and fixtures
- natural gas lines and fixtures
- fixtures with respect to air exchange and temperature control
- walls that do not form the unit’s boundaries,
- and any windows and doors located in those walls
- cabinets and counter tops
- non-chattel appliances
It is also important to consider how the description is written and what language used. The SIUD must be clear, consistent, and comprehensive to protect the condo corporation.
Once created, the SIUD must be vote in and added to the corporations By-Laws. Once approved the final step will be to have the Standard Unit By-Laws registered at the local Land Register office.
Normac is uniquely positioned to assist our current and future clients with their SIUD needs. We have always inspected and accounted for standard units with the developer’s original finishing’s and therefore we have the expertise and skill-set to assist condo boards with defining their SIUDs.