In today’s real estate market it isn’t uncommon for sellers to move out of a home before it’s sold. A mistake some people then make is to assume their home insurance policy will continue to provide coverage for the now unoccupied home.
Unoccupied homes pose a greater risk for insurance companies. They can be an attractive target for vandals and thieves. An unoccupied home also is a risk for larger losses – for example, if a pipe bursts the resulting damage from water (and, potentially, mold) can increase significantly if it isn’t noticed for days or weeks.
Insurance companies are aware of these risks. As a result home insurance policies include provisions that restrict and exclude coverage when a home has been unoccupied for 30 days or longer.
Specialty dwelling insurance policies offer coverage for unoccupied and vacant homes (as well as tenant occupied homes). The cost is higher compared to a home policy reflecting the increased risk, however having the appropriate coverage affords you the peace of mind of knowing your insurance will respond as intended in the event of a loss.
Did you know?
We represent Foremost Insurance – the industry leader for specialty dwelling insurance.
Addendum: Apparently this particular blog has become popular in online searches for insuring vacant homes prompting calls to our office from people whose vacant dwellings are located hundreds of miles from our office – regrettably we are unable to insure those properties as it is impractical for us to complete an on site inspection. Unless it is an accommodation for a current client we can only insure specialty dwellings located within the Greater Grand Rapids area.