Glossary

Homeowners association (HOA)

An organization that enforces rules and maintains shared property in a subdivision, condominium or planned community, funded by dues from the owners.

Also called: HOA, homeowners' association, property owners association

A homeowners association, usually a nonprofit corporation, governs a planned community, subdivision or condominium. It collects dues, enforces the covenants (CC&Rs) and maintains shared property such as roads, pools, clubhouses and landscaping. In a condominium, the association is typically responsible for the building's structure and buys the master policy. In a single-family subdivision, the HOA usually insures only its common areas and its own liability. Your house is still yours to insure.

The HOA buys property and general liability coverage for what it owns, and often directors and officers (D&O) and fidelity coverage. It does not insure your house or belongings in a single-family neighborhood. Say your HOA carries a $1 million liability policy (hypothetical): it protects the association against a claim over the pool, not you against a guest's injury in your own yard.

Watch for special assessments after an uninsured or underinsured loss, rules that require specific coverages or limits, and association deductibles passed to members. Ask for the master policy certificate each year and read the governing documents. Your own HO-6 or homeowners policy, plus loss assessment coverage coverage, fills the gaps. See HOA insurance requirements.

Last reviewed October 10, 2026

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Related terms

Master policy The property and liability policy a condominium or homeowners association buys for the shared structure and common areas, paid for through dues. HO-6 (unit-owners form) The condo owner's policy: it covers belongings, the parts of the unit the association's policy leaves to you, loss assessments, liability and loss of use. Loss assessment coverage Coverage for your share of a bill that a condo or homeowners association charges owners after a covered loss that its own insurance does not fully pay. Bare walls coverage A condo master policy type that insures only the structure and common areas, leaving everything from the interior surfaces inward to the unit owner. All-in coverage A condo master policy type insuring the building plus each unit's interior finishes and owner upgrades, leaving mainly belongings and liability to the owner. Walls-in coverage Condo unit-owner coverage for everything from the interior wall surfaces inward, which is the part of the unit the association's master policy does not insure.

Related guides

Condo master policies: what the association covers and what you cover How bare-walls, all-in and in-between master policies divide a condo between association and owner, who pays the master deductible, and what to ask for. HOA insurance requirements for owners: what you must carry What a homeowners or condo association insures, what its documents and your lender can require you to carry, and how to prove compliance and avoid fines. How rising insurance costs affect home prices and sales Premiums shrink what buyers can borrow, and studies find they slow price growth in the riskiest ZIP codes. What the research shows and what to do. Loss assessment coverage for HOA and condo owners Loss assessment coverage pays your share when an association bills owners after a covered loss. The standard forms stop at $1,000, often too little. Townhouse insurance: HO-3 or HO-6? Whether a townhouse needs an HO-3 or an HO-6 depends on who owns and insures the roof and walls, not on its style. Here is how to tell from your documents.