Hutch Underwriting has launched a Commercial Strata insurance product, marking the Sydney-based underwriting agency's first entry into commercial property cover since it was founded in 2022.
Commercial Strata is Hutch's latest property offering, following the launch of its Residential Landlord Insurance policy about a year earlier. The launch places Hutch alongside established commercial strata specialists including CHU, which has offered strata insurance since 1978, and Longitude Insurance, which is backed by Chubb and specialises in residential, commercial and mixed-use strata buildings. Other commercial strata underwriters in the market include QUS, backed by AIG, and Strata Unit Underwriters, whose products are underwritten by CGU.
The policy spans eight sections, including buildings and common contents cover up to $25 million, property owners' legal liability up to $30 million, and office bearers' liability up to $10 million. Optional extensions cover flood, machinery breakdown up to $500,000, and cyber-related losses including social engineering fraud and data breach defence costs.
The launch lands during a period of easing commercial insurance pricing. Australia's commercial insurance market remained soft through the first half of 2026, with pricing continuing to ease and insurer appetite broadening across property, financial lines, liability and cyber, according to an EBM Insurance & Risk report released on May 11. Brokers have also reported increased insurer and Lloyd's capacity for well-managed commercial property risks, contributing to more competitive market conditions.
Hutch is entering a strata sector that continues to expand alongside Australia's growing apartment and mixed-use building stock. The Australasian Strata Insights 2024 report, compiled by UNSW's City Futures Research Centre, found that at least 15% of Australians — more than 4.2 million people — now live in strata or community-titled properties, with the sector growing by an estimated 200,000 residents since the previous 2022 report.
The launch also comes as strata risks evolve beyond traditional property damage. Insurers have increasingly broadened cover to address cyber incidents, fraud, governance exposures and severe weather risks affecting strata communities. Hutch's cyber-cover inclusion, a feature of its original residential strata product, is no longer unique in the segment. CHU Underwriting Agencies added cyber cover to its residential strata policies, providing protection for bodies corporate against losses arising from social engineering fraud, with the cover effective from 30 April 2026.
The wider strata sector is also undergoing regulatory change. The third and final tranche of amendments under the Strata Schemes Legislation Amendment Act 2025 (NSW) came into force on 1 April 2026, tightening developers' obligations around maintenance schedules and financial disclosures, with further legislation currently before NSW Parliament.
