The schedule of condition is a report that details the areas that can be affected by the proposed works covered by the Act. The Act itself only covers the direct areas and furnishings, i.e. if you were to have a loft conversion, it would only cover the party wall and not, say the kitchen, at the parallel side of the wall, which would not be affected by damages from a beam installed.
Please note that the Schedule of the condition is not a legal requirement under the Act but is good practice for identifying and damage caused by the works. It is also proof that the damage was caused by the works set by the Act.