Can you get insurance for an unoccupied house?

If you leave your house for the weekend, you can be assured that your homes insurance will cover you if anything goes wrong. That is most likely also true if you take a week or two off.

However, if you leave your home unoccupied for an extended length of time, your homeowner's insurance coverage may be jeopardized.

According to Cate Paolino, director of public policy at the National Association of Mutual Insurance Companies, "many insurance plans have language that may limit coverage if a home is vacant."

Not all house policies are the same, according to Paolino. They differ in terms of coverage, terms, conditions, and limits and how they are expressed. "These distinctions have significance," she says.

Continue reading to learn more about how vacant properties might threaten your insurance coverage – and what you can do to avoid this happening to you.

TAKEAWAYS IMPORTANT

After a certain amount of time, an empty home's insurance coverage will be terminated.

Home insurers may often refuse to cover residences that have been vacant for 30 or 60 days, depending on the policy.

Vacant home insurance, which can cost up to 60% more than a typical home insurance policy, ensures that your home is covered while you're away.

Insurance companies may provide separate vacant home insurance plans or allow you to add additional coverage to your existing homeowner's policy.

What is the difference between unoccupied and empty home insurance?

Vacant home insurance, also known as empty home insurance, ensures that your homeowner's insurance coverage is maintained even if you are away from home for an extended time and your home is vacant.

When a residence remains uninhabited for a specific period, the insurance provider usually terminates coverage. This frequently entails a vacancy of more than 30 or 60 days.

"While 30 days is frequently suggested, you should consult your insurance policy and chat with your agent or insurer to discover the actual length of time," Paolino advises.

If you leave your home, or even your vacation home, empty for an extended period, your home may not be covered by insurance if it is damaged or destroyed.

Vacant home insurance can help to ensure that your home is protected even when you're not at home. However, obtaining insurance for an empty house might be tricky.

According to the Insurance Information Institute, some insurance firms will flatly refuse to insure a vacant property because an unoccupied home poses a considerably higher risk than an occupied one.

"Vacant or uninhabited homes are more vulnerable because an issue, such as a burst water pipe or a break-in, may go unnoticed," Paolino explains.

It's worth noting that the terms "empty" and "unoccupied" aren't necessarily interchangeable.

"Insurers may occasionally clarify or describe the distinction between an empty home and an unoccupied home in their policies," Paolino says.

The residence may be called "unoccupied" if no one is there, but the contents or personal goods remain inside, such as when you are away.

If no one lives in the house and doesn't have a typical amount of personal property inside, it may be labeled "empty."

"It doesn't have to be completely devoid of personal property to be considered vacant," Paolino explains. "It's critical to double-check your policy wording once again. What sets unoccupied home insurance apart from other types of property insurance?

For a variety of reasons, vacant home insurance differs from conventional home insurance policies. Vacant properties are less secure, making them more vulnerable to vandalism and break-ins.

Vandals and burglars may see an empty house as an enticing target. But what about the dangers posed by extreme weather? When you're not at home, your house is more exposed to storm damage, which could result in water damage if pipes leak or break.

Vacant property insurance protects vacant homes from fire, storms, vandalism, and other unforeseeable damages while they are empty.

What is covered by vacant home insurance?

A vacant home insurance policy often covers many of the hazards that a standard homeowners policy would. The following types of damage are covered by insurance:

However, coverage for additional risks generally covered by a homeowners policy may be limited. For example, you may not be insured against theft, vandalism, or water damage (such as from a burst pipe).

Some insurers have choices that can broaden your coverage, like liability coverage if someone is injured on your now-vacant property, but you'll have to pay for it.

How much does it cost to insure a vacant house?

According to the Insurance Information Institute, empty home insurance might cost 50 percent to 60 percent more than occupied home insurance.

"Because the risk to your home and personal belongings may be higher when you are away," Paolino explains, the cost of insurance coverage may also be higher.

Accordingly, having someone regularly check the property may help you get a reduced rate.

How do I get insurance for a vacant house?

Purchasing vacant property insurance is similar to purchasing conventional home insurance.

1. Compare quotes for unoccupied home insurance policies.

Begin by inquiring with your current house insurance provider about unoccupied home endorsements for your existing policy. Some insurers will do this for you, while others would require you to purchase separate insurance.

Get estimates from at least three unoccupied property insurance providers if you're buying a new policy, and then make a decision based on cost, company reputation, coverage offered, and places where they offer coverage.

Make sure you study each insurer's specific coverage to ensure you're comparing like-for-like policies. For example, one provider may cover the structure's monetary value, while another may pay the entire replacement cost.

2. Decide on a policy

Choose your unoccupied house insurance company based on the coverage it provides, the cost of coverage, and whether or not it covers your preferred area.

3. Obtain insurance for a vacant home.

Allison Bethell, a real estate agent and real estate investor based in Florida who flips houses, explains that once you've chosen a vacant house insurance provider, you'll generally require the following documents when applying for vacant house insurance:

Ownership evidence:

• A driver's license or passport are acceptable forms of identification.
• Insurance policies: Previous policies if you previously insured this property with another company.
• Property worth: This can come through an appraisal or a self-estimated of your home's value.
• Timeline for vacancies: The insurance company will want to know how long the property has been vacant or unoccupied and when it will be inhabited again; documentation in the form of a lease may be required.
• Best insurance providers for unoccupied homes in 2021
• A vacant home may be difficult to insure for some insurance carriers. Others, on the other hand, advertise their willingness to cover homes in this case.

Here are three alternatives for a vacant house insurance company:

American Family Insurance supplies bare-bones home insurance products that it claims are tailored to a homeowner's specific requirements. A basic unoccupied home insurance policy is available from American Family Insurance, but you can also add coverage for personal items, such as equipment used to maintain the property. Policies are offered in three-, six-, and twelve-month durations.

Farmers sell insurance for unoccupied homes. It has a 12-month policy with a prorated refund if you cancel before the year is out. You can also buy insurance to cover you in case of vandalism or malicious mischief.

Foremost also provides insurance for unoccupied homes. It is available for a one-year purchase and can be renewed for up to four years. Coverage is available for homes worth up to $1 million. It has a prorated cancellation policy. After your deductible, Foremost guarantees that if you have a covered loss, you will get the insurance amount for your home specified on your policy.

When you require insurance for a vacant/unoccupied/empty home

If you plan to leave your home empty for an extended length of time, speak with your insurance agent about how to make sure it is protected while you are gone.

It's possible that you could acquire an endorsement or an amendment to your existing policy to include such coverage. You may need to get a separate policy.

In general, if your home will be vacant for more than 30 days, you should check into vacant home insurance. Keep in mind that if you leave your home empty for longer than that, your standard homeowner's insurance coverage may not cover any damages.

Vacant home insurance may be required in cases where the home is empty for the following reasons:

• Remodeling or renovating your home
• Long-distance travel
• Putting your house on the market
• Moving out of your current residence and into a new one

According to the Insurance Information Institute, your current homeowner's insurance provider may issue a vacant permit that covers some restricted but critical types of coverage, such as damage from fire or wind.

Other risks, however, will be excluded from such coverage, such as:

• Glass Breakage Theft
• Damage caused by water

You must usually make your request before the home has been vacant for 30 days to get even this limited coverage. Of course, the restrictions vary per insurer, so check with yours to learn more about their criteria.

Discuss your issue with your insurance or agent. To provide the proper coverage, an endorsement or amendment to your existing policy or different insurance entirely could be purchased.

How can you save money on vacant and unoccupied home insurance?

If you want to acquire insurance for an empty property because it is unoccupied or vacant, make sure you check into all available ways to save money on your unoccupied house insurance.

You can have a friend or neighbor check on your house regularly. It will assist you in persuading your insurer that your home is neither vacant nor unoccupied.

Installing an alarm system and implementing other security measures can also help you save money on your homeowner's insurance. The availability of these reductions, on the other hand, varies from company to company. It would help if you talked to your insurer about it because it might save you hundreds of dollars on your insurance policy.

How do you keep your empty property safe once you've moved?

Ensure your property is secured if you are moving out of your home and leaving it vacant for an extended time. If not correctly safeguarded, empty homes are vulnerable to vandalism or theft. Therefore it's critical to take the appropriate precautions to keep your property safe and secure.

Keep your home's exterior in good shape.

Allowing your property to fall into chaos is a bad idea. Make sure to get those bothersome plants clipped and have someone mow the yard for you or shovel the driveway in the winter before any additional snowfall damage occurs. Also, make sure that all exterior lights are turned on so that passers-by don't mistakenly believe that no one is home.

Set up security systems-

Add motion-sensor lights and entry alarms to your home to make it more secure. Trim bushes to eliminate potential hiding spots for robbers and lock curtains or blinds throughout the day to keep unwanted eyes out.

Take all of your valuables with you-

Make sure you bring all of your valuables with you. You can either sell or rent items like furniture, gadgets, and valuable paintings if you don't need them.

Obtain insurance for your vacant property.

Protecting your vacant home with vacant property insurance is the best option. It protects your home from threats such as vandalism, robbery, and even weather damage. If someone breaks into your house or causes damage while you're away, vacant home insurance can be a lifesaver.

Most Commonly Asked Questions

For insurance purposes, how long may a house be unoccupied?

The length of time your house can be empty and still be protected varies by insurer. According to the Insurance Information Institute, your home should be insured for up to 30 days of vacancy as a general rule.

Some companies will allow you to work for up to 60 days if you are unemployed. However, if you intend to leave your home vacant for a lengthy period, you should speak with your home insurance or agent to learn about their policies regarding how long a house can be abandoned and still be covered.

The terms of a policy determine continued coverage requirements. There is no alternative for expertise with the policy's coverage criteria.