C2C helps trustees and managing agents assess sectional title buildings for insurance and plan for future maintenance. We provide body corporate insurance replacement-cost valuations and maintenance, repair and replacement plans (MRRPs) for schemes across Gauteng.
These are separate tasks: the insurance valuation estimates rebuilding costs, while the ten-year maintenance plan identifies expected work and costs for major common-property items. Confirm whether you need one service or both when requesting a quote.
C2C was established in 2002 and is led by Brian Morgan, SACPVP-registered Professional Valuer (3702). Request a sectional title valuation or MRRP quote with the scheme name, address and number of units.
Body corporate insurance valuations
The insurance assessment considers the replacement cost of the buildings and relevant improvements, rather than their selling prices. The scope should identify the property being assessed and appropriate rebuilding allowances so trustees can discuss the insurance schedule with their broker or insurer.
A replacement-cost valuation is not a depreciated market-value assessment. Insuring an older building requires consideration of the cost to rebuild, not simply its age-adjusted sale value.
How often is a sectional title insurance valuation required?
Prescribed Management Rule 23(3) requires the body corporate to obtain a replacement valuation of all buildings and improvements it must insure at least every three years. The rules also provide for an annual insurance schedule to be presented to the annual general meeting. Alterations, changing building costs or policy requirements may warrant an earlier review.
The official Sectional Titles Schemes Management Regulations set out these requirements. Trustees should check the scheme’s insurance arrangements and obtain advice on its particular obligations.
What is a ten-year maintenance plan or MRRP?
Prescribed Management Rule 22 requires a written maintenance, repair and replacement plan for common property. It must address major capital items expected to require maintenance, repair or replacement within the next ten years, their present condition, timing, estimated costs and expected life once work is completed.
An MRRP gives trustees a structured basis for discussing future expenditure and reserve funding. It should be reviewed as the condition of the property, completed work, priorities and costs change. It does not replace the separate insurance valuation or the body corporate’s budgeting and approval responsibilities.
Information to prepare
- The scheme name, address, number of sections and an access contact.
- Sectional plans, building plans and relevant area schedules where available.
- The existing insurance schedule and last replacement valuation.
- For an MRRP, the previous plan, maintenance history and details of known defects or planned projects.
We confirm the scope, inspection arrangements, fee and delivery timing before starting. The size and complexity of the scheme and the information available affect the work required.
Common questions from trustees
Does an MRRP set the insurance value?
No. The maintenance plan forecasts work on common-property items. The insurance valuation assesses rebuilding costs for the agreed insured improvements. Using one as a substitute for the other can leave important needs unaddressed.
Is a municipal value sufficient for building insurance?
No. Municipal assessments and insurance replacement costs serve different purposes. Read our building insurance valuation guide for an explanation of underinsurance and the average clause.
Discuss your valuation with C2C
Brian Morgan is a Professional Valuer registered with the SACPVP (3702) and a full member of the South African Institute of Valuers (MOR008). Contact C2C for a written quote, call 010 500 4852 or email c2c@c2csa.co.za.