Community Association Insurance in Pennsylvania

Pennsylvania at a glance

Condominium statute

Uniform Condominium Act, 68 Pa.C.S. 3101 et seq.

Requires common-element property and liability insurance.

Planned community statute

Uniform Planned Community Act, 68 Pa.C.S. 5101 et seq.

Parallel framework for HOAs and detached/semi-detached developments.

Aging-stock exposure

Significant pre-war rowhouse and industrial-conversion condominium inventory in Philadelphia and Pittsburgh

Drives higher water-damage and fire-claim frequency than newer suburban stock.

Primary insurance regulator

Pennsylvania Insurance Department

Confirm current filing and licensing guidance directly with the department.

Uniform Condominium Act insurance provisions

The Uniform Condominium Act, 68 Pa.C.S. 3101 et seq., requires the association to maintain property insurance on the common elements and any units it's obligated to insure, at replacement cost where reasonably available, along with commercial general liability coverage. Pennsylvania condominium conversions of older rowhouses and industrial buildings often have declarations that predate the current statute's default terms, so the specific insurance obligation still needs to be read out of each association's declaration.

Uniform Planned Community Act for HOAs

Planned communities and most homeowners associations in Pennsylvania fall under the separate Uniform Planned Community Act, 68 Pa.C.S. 5101 et seq., which mirrors much of the Condominium Act's structure but applies to detached and semi-detached home developments with association-owned common areas rather than a condominium regime of unit ownership. Distinguishing which act governs a given Pennsylvania community matters because the two statutes set slightly different disclosure and reserve-related obligations.

Fidelity bonds and financing eligibility

Pennsylvania associations pursuing Fannie Mae, Freddie Mac, FHA, or VA-eligible financing for unit sales generally need fidelity coverage protecting against embezzlement by board members, a treasurer, or a managing agent, sized to the association's reserve and assessment income. Smaller, self-managed Pennsylvania associations — common outside the Philadelphia and Pittsburgh metro areas — are the segment most likely to be under-limits on this coverage when a lender review flags it during a refinance.

Aging building stock and winter freeze exposure

Philadelphia and Pittsburgh both have significant inventories of pre-war rowhouse and industrial-conversion condominiums with older roofing, plumbing, and electrical systems, which drives more frequent water-damage and fire claims than in newer suburban developments. Statewide, ice-dam and frozen-pipe losses during Pennsylvania winters are a recurring theme across both older urban conversions and newer developments with inadequate attic insulation, making reserve-funded roof and gutter maintenance a meaningful underwriting factor.

Who we write this for in Pennsylvania

Community association FAQs for Pennsylvania