If you’re away on vacation or are planning to sell your home this year, here’s how you can cover your home when it’s vacant

What is the definition of unoccupied home insurance?

Unoccupied home insurance protects the homeowner when the house is vacant for a longer period than your normal policy allow. The insurance will typically only cover when your home is vacant for more than 60 days and if something happens outside the time frame, you’ll not be protected.

If your home is vacant for a long time and you are unable to access your home, the likelihood of theft increase. Unoccupied homes also carry an increased chance of structural damage, for instance in the event that a pipe explodes and no one is there to take care of repairs and the consequences could be more destructive.

Home insurance for unoccupied homes is not included in a standard home insurance policy, which means you’ll need an additional policy or add-on.

What is the best time to get unoccupied property insurance?

There are several scenarios that could lead you to require insurance for your property that is not in use. They include:

If you are doing construction work that requires the removal of

Are you waiting for the sale of your property to close

Travelling for a holiday or for a long time

It’s a second home or a holiday home that you wouldn’t normally reside in

You’re a property owner and your property is rented out to tenants.

We’d recommend that you don’t be a risk and leave your home without insurance in the event that it is left empty for a long amount of time. It’s best to confirm with your insurance company to determine if you’ll be covered beyond the specified duration and to what extent. If you don’t have enough coverage for you, you should consider non-occupied insurance for your property.

What exactly does insurance for homes that are not occupied protect?

If you’re considering taking out insurance for your home that is not occupied You should look for an insurance policy that covers:

Fire, flood, or storm destruction: If a natural disaster strikes during your absence

Exit of oil or water when a pipe breaks or leaks in the home

Theft or attempted theft: If someone is able to break into or attempts to break into your house and steals your personal belongings

Criminal damage is caused in your absence, you are responsible for the damage.

Legal costs In the event that you have to pay legal costs for the removal of squatters from your property, for the trespassers, or for identity theft

The insurance for Public Liability: In the event that damage is caused by property that you are accountable for, such as when a tile on the roof is damaged and falls on the car window

Insurance policies vary among companies, and therefore they don’t all offer the same level of protection. Be sure to read the policy’s terms and conditions before purchasing.

What’s not covered by the insurance on homes not occupied?

The insurance company that covers your home may not be able to pay claims for one of the reasons listed below:

Unforced entry The act of leaving your windows and doors left unlocked or open is a guaranteed way to invalidate an insurance policy for your home since squatters and thieves could gain access to your home without requiring access.

Major projects: Some insurance companies may even deny coverage for events that occur during major construction projects, such as the extension of or repairs made to the structure of your home.

Contractors Hired contractors to repair your house while it’s not in use You may not be protected from any damages they cause. Contractors need to be insured on their own to protect against the damages.

Who can unoccupied house insurance be used for?

There are a variety of reasons your home could be unoccupied for a short period. For instance, your home might be empty in the event of:

It’s up for sale, but you’ve just moved in your new residence

It’s not your primary place for residence. It’s rather a vacation home or one that you’ve acquired

You’ve bought it recently, but don’t think of getting it for a long time.

You’re traveling for a lengthy time

You’re a property owner and in the middle of a dispute with tenants

You’ve been referred to long-term medical facilities

The building is currently being renovated and isn’t safe for people to live in.

You’re waiting for the probate.

How much will unoccupied home insurance cost?

The cost of insurance for vacant houses can differ between different the policies and providers. Insurance companies consider factors such as:

Property value: The most expensive items and properties cost more to replace and repair and you’ll need to spend more money to pay for them.

Location of the property Location of the property: If your home is located in an area that has high crime rates, or has a high chance of flooding, the cost of insurance for your property will increase.

Security for your property: Enhancing the security features in your home during empty times will prevent break-ins

Maintenance on your property: Making sure your water pipes are properly insulated during the winter months will help prevent water from escaping from your home , the consequences of which could be devastating If left untreated

The level of coverage Coverage: The more policies you buy and the more extensive the level of protection you get the higher you’ll have to pay in the form of premiums.

How long is your house going to remain vacant?

Although standard home insurance typically is offered for a year but homes that aren’t occupied don’t necessarily remain empty for a period of twelve months. This is the reason why insurers typically provide insurance for homes that are not occupied in policies that last for three, nine, or twelve months.

If you believe you’ll be traveling for a longer period, or in the event of a sudden absence typically, you’ll be able to extend your insurance in addition. For instance, if you’re in a foreign country for your vacation and your flights are cancelled or your home sale takes longer than scheduled.

What happens if you don’t inform your service provider that your home is empty?

It is possible to invalidate your insurance coverage for home if you are required to make claims and do not inform your insurance provider that your residence is vacant for longer than stipulated in the policy’s terms and conditions.

Claiming on unoccupied home insurance

Check with your insurance company has specific rules regarding how you can file a claim, for example, if you require to reach them immediately or if you have to make a police report.

There are other things to consider prior to claiming:

No-claims bonus: Insurance companies often provide discounts to premiums when you’ve not claimed for some time – but if you do submit claims, you’ll be unable to claim this benefit, meaning that your premiums could increase.

Excess: The excess is the first amount you have to pay towards a claim prior to when your insurance pays the rest of the bill. It could be a bit high in some instances therefore it’s worth considering whether it’s more cost-effective to hold onto your no-claims bonus , and then take on the cost of the damage yourself.