There may be many reasons that your home needs to remain vacant for a time.
Perhaps you have sold your home, and it will be awhile before the new owners can move in.
Or maybe this property is used as a vacation home.
Another common scenario is a home that isn't able to be sold before the homeowners must leave the property.
Whichever the case happens to be, there are many questions surrounding the insurance coverage for a vacant property.
Such properties need to be insured.
However, it can be difficult to do so.
High Risk Those who already have insurance coverage for their vacant home risk having their insurance company drop coverage.
Additionally, many homeowners insurance companies will try to avoid approving coverage for a vacant home.
This is because a vacant home presents a high risk to them.
Not only is there a higher chance of fire or vandalism with a vacant home, but there is also increased risk of vermin infestation and burst pipes.
Attractive Nuisance Just as a swimming pool is considered to be an "attractive nuisance" in the eyes of insurance companies, so is the vacant home.
Once it's been confirmed that a property is vacant, it can attract individuals who may be looking to have fun, but who could incur serious injury as a result of climbing fences or trying to enter the home.
However, this doesn't mean that getting homeowners insurance for a vacant home is impossible.
Grace Period Many insurance companies will allow a home to be vacant for a particular time period, such as 60 days, before they can cancel coverage.
This can be confirmed by checking your policy, although standard homeowners insurance policies will likely not cover your vacant home past 60 days.
But experts warn against leaving your property without notifying your insurance company, as this could result in your insurer declaring neglect or property abandonment.
Should this happen, any claim brought forward for the abandoned property could be considered to be insurance fraud.
Vacant Home Insurance Options Many companies have changed the way vacant properties are covered under their standard policies.
No longer are certain types of damage covered once a property becomes vacant.
Instead, the homeowner has the option to purchase an endorsement to their existing property.
The endorsement prevents any exclusions on a policy from taking place after a property has been vacant for a certain time.
So for example, a home may no longer be insured for breakage of glass or vandalism after 30 days of vacancy.
But an endorsement prevents that from kicking in.
Other Solutions Making your vacant home look as occupied as possible is both a good way to prevent vandalism and to keep your insurance company happy.
Consider having someone come to the property on a regular basis to check for mail, mow the lawn, turn lights on and off - basically anything that makes the home look lived-in.
Another idea is to have someone you know stay in the home temporarily.
Perhaps you have sold your home, and it will be awhile before the new owners can move in.
Or maybe this property is used as a vacation home.
Another common scenario is a home that isn't able to be sold before the homeowners must leave the property.
Whichever the case happens to be, there are many questions surrounding the insurance coverage for a vacant property.
Such properties need to be insured.
However, it can be difficult to do so.
High Risk Those who already have insurance coverage for their vacant home risk having their insurance company drop coverage.
Additionally, many homeowners insurance companies will try to avoid approving coverage for a vacant home.
This is because a vacant home presents a high risk to them.
Not only is there a higher chance of fire or vandalism with a vacant home, but there is also increased risk of vermin infestation and burst pipes.
Attractive Nuisance Just as a swimming pool is considered to be an "attractive nuisance" in the eyes of insurance companies, so is the vacant home.
Once it's been confirmed that a property is vacant, it can attract individuals who may be looking to have fun, but who could incur serious injury as a result of climbing fences or trying to enter the home.
However, this doesn't mean that getting homeowners insurance for a vacant home is impossible.
Grace Period Many insurance companies will allow a home to be vacant for a particular time period, such as 60 days, before they can cancel coverage.
This can be confirmed by checking your policy, although standard homeowners insurance policies will likely not cover your vacant home past 60 days.
But experts warn against leaving your property without notifying your insurance company, as this could result in your insurer declaring neglect or property abandonment.
Should this happen, any claim brought forward for the abandoned property could be considered to be insurance fraud.
Vacant Home Insurance Options Many companies have changed the way vacant properties are covered under their standard policies.
No longer are certain types of damage covered once a property becomes vacant.
Instead, the homeowner has the option to purchase an endorsement to their existing property.
The endorsement prevents any exclusions on a policy from taking place after a property has been vacant for a certain time.
So for example, a home may no longer be insured for breakage of glass or vandalism after 30 days of vacancy.
But an endorsement prevents that from kicking in.
Other Solutions Making your vacant home look as occupied as possible is both a good way to prevent vandalism and to keep your insurance company happy.
Consider having someone come to the property on a regular basis to check for mail, mow the lawn, turn lights on and off - basically anything that makes the home look lived-in.
Another idea is to have someone you know stay in the home temporarily.
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