Condominium

What Does Condominium Mean?

A condominium is a housing unit that shares ownership of the land it is built on with other housing units. An association, typically made up of the owners of these units, is responsible for the upkeep of common areas, such as communal swimming pools.

Insuranceopedia Explains Condominium

There is a common misconception that a condominium is simply a building with rooms designed to serve as individual housing units. While this is partly true, even houses that are separate from each other can be part of a condominium. What defines a condominium is the shared ownership of the land, rather than the type of building.

The condominium unit itself can be insured through an HO-6 policy. This policy covers the individual dwelling space (the condominium unit) but does not extend to the common areas. The condominium association typically purchases insurance for the common spaces.