Under the Condominium Association Coverage Form, which statement is true?

• A. It covers unit owner's personal property
• B. It covers the buildings in the condominium complex
• C. It covers neighboring properties
• D. It provides liability coverage for unit owners

Answer: (B)

Condominium Association Coverage Form is designed to insure the building structure and the common areas that the condo association owns. It protects the physical property of the association—like the exterior and shared facilities—rather than a unit owner’s personal belongings or interior improvements, which are typically insured by the unit owner’s own policy. It also isn’t meant to cover neighboring properties, and the liability aspect is for the association’s own liability, not for each unit owner’s personal liability. So the statement that it covers the buildings in the condominium complex reflects the policy’s purpose and scope.