Unoccupied property insurance has been designed for individuals who own homes that will be occupied for a short period of time. In most cases, an individual would want this type of insurance if they were selling their home and had already moved to the new home. Or, if a home is vacant while it is being renovated.
This insurance does not cover property in a home, as a matter of fact, the home must be unoccupied and there may be no holdings in the home for the insurance to be active. The process for selling a home can take up to six months. During this time, the owner of the home may move out of the home while the home is in the process of being transferred to the new owner.
If a home is damaged or someone is injured in the home before the new owners take possession of the home, the person who owns the home is liable. This coverage covers that period of time until the new owner takes possession of the home. The coverage is normally very restricted and covers liability only, so the benefits of a regular homeowners policy, such as a natural disaster or fire, are not covered.
The length of time that a provider will offer the insurance premiums as well as the rate for the coverage. Therefore, it is important that you know what level of coverage is needed, the length of time that you will need the coverage and the budget you have allocated for promotions. In most cases, this type of insurance is more expenses than for standard homeowners insurance because the level of risk to an unoccupied home is much greater.
Getting quotes from providers will give you a good comparison of the level of coverage that is offered and the length of time that the policy will be in effect. In most cases, providers offer this type of insurance for 3-12 months, depending on the circumstances for the vacancy.
A discussion with the provider will also help you to understand the exclusions and conditions of the policy. Some policies may be written to include theft of major appliances or damage from vandalism to the property. However, there is no standard for this type of insurance so reading the details in the quote provided will be an important step before making a decision on the policy that you select.
An insurance professional will be able to provide the information regarding how unoccupied property insurance can be of benefit to you when you are selling your home or leaving it unoccupied for an extended period of time. By getting the details you need to make a knowledgeable decision, you will be able to find the coverage that will meet your needs and requirements.
A person living in an area where their home will not be regularly checked will find that having unoccupied property insurance is a way to further protect your investment and keep your property in the condition that you leave it in. When you are selling a home, having the insurance until the new owners take possession will protect you from liability if someone is injured on the property or there is an unforeseen accident that results in damage to the property or individuals.