Strata insurance commissions: what the reviews found and what has changed

By Andre Lang, Authorised representative No. 1323803 · 11 November 2026 · 7 min read

A magnifying glass over a printed invoice beside a scale model of an apartment building

Between a quarter and a third of a typical strata base premium has gone to the people who arrange the policy, according to an independent review of the industry, and it is a figure owners have often found hard to see. Regulators and governments have spent the past two years trying to change that.

This is a summary of what has been found, what has changed in the law, and what is still undecided as of November 2026. It also says plainly how Quick Strata is paid, because a broker writing about commissions has an interest of its own.

20%Typical broker commission on a strata premium (Trowbridge, 2022)
25 to 35%Typical share of base premium going to intermediaries in total
16%Commission share of average strata insurance cost in northern Australia (ACCC, 2026)

How are commissions paid on strata insurance?

A strata policy usually passes through two sets of hands before it reaches the owners. A strata insurance broker places it with an insurer, and the strata manager arranges it for the owners corporation. Both can be paid from the premium.

The most detailed public account is the independent review by actuary John Trowbridge, whose second report in December 2022 looked at how brokers and strata managers are paid. It found that broker commission is "typically 20% of the premium", that the strata manager's share of that commission is "frequently 15% to 20% of base premium", and that brokers often charge a fee on top. Taken together:

"typically in the range 25% to 35% of base premium while some reach or exceed 40%"

John Trowbridge, Independent Review of Strata Insurance Practices, Phase 2 report, December 2022, on total payments to intermediaries

The report recommended that the system of commission rebates and broker fees "be phased out in three stages".

Why is that a conflict of interest?

A percentage commission rises when the premium rises. The person arranging the insurance is paid more when the policy costs more, and the owners who pay the premium are usually not the ones choosing the broker. That is the conflict the reviews describe. It does not mean any particular manager or broker has done the wrong thing. It means owners need to be able to see what is being paid, and to whom.

The Australian Competition and Consumer Commission put a number on it in its final insurance monitoring report for northern Australia, published in June 2026, which found:

"commission costs comprising 16% ($1,303) of average strata insurance costs"

ACCC, Insurance monitoring report, June 2026 (northern Australia, excluding additional fees)

The same report found strata premiums in the north had fallen, which we cover in our story on the ACCC's final report.

What has changed in the law?

WhenWhat happened
December 2022The Trowbridge review recommends phasing out commission rebates and broker fees.
September 2024NSW passes new strata laws. The NSW Government says they include "banning agents from receiving a commission on insurance products when they don't play a role in finding the best deal for residents", and higher penalties for failing to disclose commissions.
February 2025Stronger disclosure obligations for NSW strata managing agents commence. Agents must provide at least three insurance quotes, each itemising the commission and broker fee and naming who receives them. Commissions must be disclosed at the annual general meeting, and a commission outside the agency agreement needs a general meeting resolution.
September 2025The NSW branch of the Strata Community Association announces that, from 1 January 2026, its members will begin "a phased replacement of insurance commissions" with fee-for-service arrangements.
March 2026The NSW Productivity and Equality Commission publishes its Strata Commissions Review. It estimates "more than $300 million in net benefits for NSW" over 15 years from moving to fee for service, and sets out options that include prohibiting strata managers from accepting any commissions.
June 2026The ACCC publishes its final insurance monitoring report for northern Australia, with commission costs set out for strata policies.
October 2026Further NSW strata reforms commence, clarifying what managing agents must disclose about commissions.

What has not happened is a general ban. In NSW the 2024 prohibition is narrow, applying where the agent plays no role in finding the insurance, and the wider options in the March 2026 review are still with the government. Our guide to strata insurance in NSW sets out what an agent must now disclose. Other states have their own disclosure rules: in Queensland a body corporate manager must disclose the commission in dollars before the insurance is approved, and in Victoria a manager must disclose it to the chairperson as a percentage of the premium.

What can an owners corporation ask?

These are questions any committee can put to its manager and its broker before a renewal is approved:

Our guide to what strata insurance costs shows what those components look like on a real quote.

How is Quick Strata paid?

The same way most brokers are, with one difference: you see it before you buy.

Commission is still a percentage of the premium, so the conflict described above applies to us too. Showing the figure does not remove it. It lets the owners who pay it decide whether it is fair.

See every component of your premium

Base premium, levies, duty, the insurer's fee and our commission, in dollars, before you decide anything.

Get a quote

Sources

General information only, not legal advice. The law summaries are taken from the government sources listed and may have changed since this was published.

Questions, answered

Are strata insurance commissions banned?

Not generally. NSW passed laws in September 2024 that the NSW Government says ban agents from receiving a commission on insurance when they play no role in finding the best deal, and it has since strengthened disclosure. A wider prohibition was among the options in a March 2026 NSW review and has not been legislated.

How much commission is paid on strata insurance?

The Trowbridge review found broker commission is typically 20% of the premium and that total payments to brokers and strata managers are typically 25% to 35% of base premium. The ACCC found commission was 16% of average strata insurance costs in northern Australia.

How is Quick Strata paid?

By commission from the insurer and a broker fee. Both are shown in dollars on every quote before you buy.

Keep reading

How much is strata insurance? Real quotes, line by lineThree real quotes from $2,423 to $5,223 a year, every charge itemised, what moves the price, and where the commission sits.Strata insurance brokers: what they do and how they are paidWhat a broker does for an owners corporation, who they answer to, how commission works, and exactly how we are paid.11 November 2026Strata premiums fell 12% in northern Australia, ACCC’s final report findsThe average strata policy in northern Australia fell from $9,466 to $8,341 in a year, while the rest of the country rose 4%.