Insuring a vacant home is easy, if you have the right policy. Many insurance companies don’t like to cover a vacant home because it is more likely to suffer certain kinds of damage, such as a break-in by kids or vagrants, or damage that grows to a large scale, for example a water leak that goes undetected for weeks.
When a home becomes vacant, a standard homeowners policy may give the carrier the right to cancel mid-term, lower coverage levels, or even deny a claim.
What you need is a policy that is specifically written for the risks of a vacant property. It applies to these common circumstances:
- You own rental property and are between tenants
- You’ve moved for a new job but your house is unsold
- A property is undergoing renovations
- As executor, you are selling a house to close an estate
- Named Peril Coverage. This means covered “perils” (fire, explosion, lightning, windstorm and hail damage) which are specifically named in your policy, subject to policy exclusions and conditions.
- Vandalism and Malicious Mischief Coverage.
- Agreed Loss Settlement. If your home is destroyed by an insured loss, you receive the full amount of agreed upon insurance for your home (minus any applicable deductible).
- Liability Coverage. This provides coverage if you’re found legally responsible for an accident that causes injury to someone on the rental premises or causes property damage.
- Actual Cash Value. In the event of a covered loss, this covers the cost to replace or repair your damaged property, with a deduction for depreciation, which reflects that age and condition of your home.
Talk to us today to find out how to get the best price and value for your vacant home insurance that’s right for you.