Service Level Agreement (SLA) Insurance Claims process

Between
The Body Corporate / Homeowners’ Association (hereinafter referred to as “the
Client”)
and
The Managing Agent (hereinafter referred to as “the Service Provider”)

Definitions

For purposes of this SLA, the following terms shall have the meanings assigned to them:

• “Body Corporate / Client” – The Body Corporate of [Scheme Name], as

defined under the Sectional Titles Schemes Management Act (STSMA).
• “Managing Agent” – The duly appointed managing agent responsible for
administering the scheme in terms of the Management Agreement.
• “Trustees” – The elected trustees of the Body Corporate, acting in terms of the
STSMA and scheme rules.
• “Unit Owner” – The registered owner of a section within the scheme.
• “Insurer/Broker” – The insurance company or intermediary appointed to
underwrite and manage the Body Corporate’s insurance policy.
• “Incident” – Any event causing damage or loss that may give rise to an
insurance claim.
• “Claim” – A formal request submitted to the insurer/broker for compensation or
repair of damage arising from an insured incident.
• “Excess” – The amount payable by the insured party (owner or Body
Corporate) towards a claim, as stipulated in the insurance policy.
• “Insurance Claims Register” – The official record maintained by the Managing
Agent of all insurance claims lodged on behalf of the Body Corporate.

1. Purpose

This SLA defines the service standards and responsibilities of the Managing Agent in
handling insurance claims on behalf of the Body Corporate, ensuring claims are
managed efficiently, transparently, and in compliance with insurer requirements and
applicable legislation.

2. Process & Service Standards

2.1 General Insurance Claims

1. Incident Reporting
o The Client (owner or trustee) must report the incident to the Managing
Agent via mail to claims@[Link].
o The owner must provide photos of any damages, if possible and a
contact number for him/herself or their tenant.
2. Acknowledgement of Claim
 o The Managing Agent shall acknowledge receipt of the claim and report
it to the insurer within 24 hours.
3. Submission of Documents
o The Managing Agent shall submit all relevant supporting documentation
to the insurer within 48 hours of receiving them.
4. Progress Follow-up
o The Managing Agent shall follow up with the insurer every second
business day and provide feedback to the affected owner and trustees.
5. Facilitation of Assessor/Contractor Visits
o The Managing Agent shall coordinate assessor or contractor visits within
7–10 business days, subject to the availability of the insurer-appointed
service provider.
6. Excess Notification
o The Managing Agent shall notify the responsible party (owner or Body
Corporate) of the applicable excess within 2 business days of the
insurer’s confirmation.
7. Contractor Appointment & Payments
o If the contractor is appointed by the insurer:
▪ The insurer will settle the contractor’s invoice directly.
▪ The excess will be payable by the owner/Body Corporate directly
to the contractor.
o If the contractor is appointed by the Managing Agent:
1. The Managing Agent shall obtain quotes and submit them to the
trustees for approval.
2. Once approved, the quote will be submitted to the finance
department for deposit payment.
3. Upon payment of the deposit, the contractor will be instructed to
proceed with the repairs. Please note, our SLA for payment
process will apply here.
4. An appointment for repairs will be scheduled with the owner.
5. Once repairs are complete, the owner shall confirm in writing that
the work has been carried out to their satisfaction.
6. The contractor’s final invoice will be submitted to trustees for
approval of final payment. Please note, our SLA for payment
process will apply here.
7. The Excess will be loaded onto the owner’s levy account for
payment.

2.2 Geyser Claims

1. The owner must report the geyser incident to the Managing Agent via mail to
claims@[Link].
2. The owner must provide photos, if possible and a contact number for
him/herself or their tenant.
3. The Managing Agent shall register the claim via the insurer’s assist line.
4. The Managing Agent shall inform the owner of the claim number and
applicable excess within 2 hours after the claim has bee registered.
5. The insurer will appoint a contractor from its panel of suppliers.
6. The appointed contractor shall contact the owner within 2 hours of the claim
being registered to arrange attendance.
7. The excess shall be paid directly by the owner to the appointed contractor.
8. The Managing Agent shall follow up with the insurer/contractor every 2 hours
until the geyser has been attended to.
3. Responsibilities

Managing Agent:

• Ensure compliance with all timeframes listed above.

• Maintain professional communication between all parties.
• Keep complete records of each claim (including claim number, excess
amount, correspondence, and invoices).

Body Corporate / Trustees:

• Provide approvals required for contractor quotes and payments.

• Ensure availability for site access when required.

Unit Owners:

• Report claims promptly and provides supporting documentation.

• Pay applicable excess amounts directly to contractors where required.
• Confirm satisfaction with repair works before final payment approval.

4. Reporting

• The Managing Agent shall maintain an Insurance Claims Register detailing all
claims (date, nature of incident, claim number, insurer appointed contractor,
progress, and outcome).
• An annual summary of open and closed claims shall be submitted to the
trustees.

5. Review

This SLA shall be reviewed annually or sooner if required by changes to the insurance
policy, insurer requirements, or applicable legislation.