Insurance cover for empty property when a homeowner moves out of their permanent residence
Insurance arrangements for the empty property of a householder after they move into residential care will need your immediate attention – upon learning that a property is empty, many insurers will cancel the policy or at the very least, severely restrict the cover provided leaving you without the cover you need.
Most home insurance policies contain a standard wording which excludes cover for escape of water, theft, theft damage and malicious damage to a property whilst it is not lived in. In addition, when the homeowner has moved out some policies will only provide cover damage from FLEEA Insurance -fire, lightening, earthquake, explosion or aircraft damage. It is essential that you inform the insurer when a householder moves into residential care as the very fact the property is not lived in will be a change of circumstances that you will need to disclose as part of your policy conditions.
Specialist unoccupied property insurance is available which can provide the cover usually excluded by insurers on standard home insurance policies. Subject to a few sensible water management, security and inspection requirements, cover for your empty house can be obtained with little fuss.
When a property is empty it is far more likely to suffer damage from the incidents that are usually excluded by standard insurers, i.e. a water leak or a break in. Even when there is little in the property that is of any value, the damage to the property itself can be significant. The extra premium you pay for a specialist unoccupied property insurance policy will be well worth the peace of mind that comprehensive cover will bring.
When looking at the existing standard home insurance policy wordings to see what cover is provided, remember the difference between furnished / unfurnished as well as whether the property is lived in on a full time basis as this can often have a significant effect on the cover provided and the insurers attitude to risk.