If you own a townhouse or condo, you have different insurance needs than the typical homeowner. Typically, condominium owners do not own the structure they live in. If shared areas need upkeep and maintenance, your association will typically handle the expense through their insurance package. Although your association dues help pay for upkeep of the common areas, they do not cover your personal property within your own unit, or your liability if someone is injured on your property.
Condominium insurance provides protection where condo associations do not. Condo and town house coverage protects your possessions within your unit, including furniture, appliances, kitchen and bath facilities and your personal items. If you plan on upgrading your unit, any improvements you make will also be covered under your policy, including wall units, renovations, and wallpaper.