Condo leak from the unit above: who pays in Ontario?
Water is coming through the ceiling and it is not yours. Who repairs what is set by the Condominium Act and by your corporation's own documents, and the first hour decides how much evidence you have when that conversation starts.
Water on the floor now? Call 647-697-7435, answered 24 hours
It depends on where the water started and on your corporation's declaration and by-laws. The Condominium Authority of Ontario says the corporation generally repairs damage to common elements and standard unit elements, while owners repair improvements and insure their own contents. Who pays the deductible is often set by a by-law.
This is general information, not legal or insurance advice. Every corporation's documents are different, and those documents are what decide.
Who repairs what after a condo leak?
The CAO's page on repairs after damage sets out the general split. Corporations must be insured against major perils including water leaks. They are generally responsible for repairing damage to common elements and standard unit elements. Owners are responsible for improvements. The page also notes that corporations can amend their repair obligations in their governing documents.
| What got wet | Who generally repairs it | Whose insurance |
|---|---|---|
| Common elements: hallways, shared areas, as defined for your building | The corporation | The corporation's policy |
| Standard unit elements, as listed in your standard unit definition | The corporation | The corporation's policy |
| Improvements beyond the standard unit, such as upgraded floors or counters | The owner | The owner's unit policy, up to its limit |
| Furniture, clothing, electronics and other contents | The owner | The owner's unit policy |
The insurance column comes from the Insurance Bureau of Canada's coverage guide, which says a condo owner's policy can cover upgrades and improvements made by you and previous owners, up to a stated limit, and that the corporation's policy does not. The same guide describes loss assessment cover, which pays your share of major common property losses that exceed the corporation's policy limit.
What is the standard unit, and why does it matter?
It is the line between the corporation's repair and yours. The CAO describes the standard unit definition as a specific list of items your corporation considers part of a standard unit. Anything not on that list is an improvement. A corporation without a standard unit by-law uses the standard unit schedule provided by the declarant.
In practice this is where most of the money sits. If the original flooring was basic and a previous owner put in engineered hardwood, the hardwood may be an improvement, and the cost of replacing it lands on the owner's policy. Read your corporation's definition before you assume either way.
Who pays the deductible?
The CAO says owners are generally responsible for paying their own deductibles, unless they or their guests cause damage to common elements directly or by being negligent. It adds that a corporation's by-laws can extend owner responsibility to cases where no one is directly at fault, points owners to section 105 of the Condominium Act, 1998, and suggests consulting an insurance broker. It also notes that deductibles can range from a few hundred dollars to tens of thousands.
So the questions to answer, in this order, are: does your corporation have a deductible by-law, what does it say, and what does your own policy cover if the deductible is charged to you. Your broker can answer the last one.
What should you do first when water comes through the ceiling?
- Get the water stopped. Call building security or the property manager at once. They can reach the unit above and the risers. Then put it in writing.
- Make the power safe. If water is running near a light fixture or outlet, switch off that circuit from somewhere dry, and keep out from under a sagging ceiling.
- Photograph everything before you move it. The ceiling, the water path down the wall, the floor, furniture legs, and the time you found it.
- Report it to your own insurer, even if you expect the corporation's policy to respond.
- Request the documents. The CAO's corporate records page explains how owners request the declaration, by-laws and rules on the mandatory form.
- Keep every receipt for emergency work, and keep or photograph damaged items before they go out.
- Get the drying started. A ceiling and a wall cavity that stay wet while people argue about who pays turn a dry-out into a rebuild.
If you cannot agree with the corporation, the CAO's page on the Tribunal's jurisdiction explains what its Condo Authority Tribunal can hear, and some disputes go to mediation, arbitration or court instead. For your own situation, get legal advice.
Where does a cleaning company fit in?
AllCleaner does not decide who pays, and nobody in the trade should tell you they can. What a restoration company can do is the part every party needs: extract the water, dry the ceiling, walls and floor, and document the damage for a claim as the work goes, so the record exists whichever policy responds.
On the published rates, a single small area runs $1,500 to $3,500 and a whole room $4,000 to $7,500, with the figure confirmed before work starts. See water damage cleaning and restoration, or call the emergency line, answered 24 hours on 647-697-7435. For the insurance side in general, read does home insurance cover water damage in Ontario.
Short answers.
- Does the condo corporation's insurance cover my upgraded floors and kitchen?
- Generally not. The Insurance Bureau of Canada says a condo unit owner's policy can cover upgrades and improvements, such as hardwood flooring and custom counters, made by you and previous owners, up to a stated limit, and that the corporation's policy does not cover them. What counts as an improvement depends on your corporation's standard unit definition.
- Can my condo corporation charge me its insurance deductible?
- Sometimes. The Condominium Authority of Ontario says owners are generally responsible for their own deductibles unless they or their guests cause damage to common elements directly or by being negligent, and that a corporation's by-laws can extend owner responsibility further. Read your by-laws and ask a broker or lawyer about your situation.
- How do I get a copy of my condo's declaration and by-laws?
- Ask the corporation using the mandatory Request for Records form. The Condominium Authority of Ontario lists the declaration, by-laws and rules as core records, and says the corporation must respond within 30 days using its own mandatory response form.
