Empty Property Insurance is a financial product designed to protect your home against loss when you are not present and it is vacant or unoccupied.
Your property can be empty for any period of time. That means for half an hour while you pop to the shops, a weekend while you are away or a fortnight when on holiday. If you are absent for a month on business, three months or even a year, all of it can be catered for with empty property insurance.
Empty property insurance applies to probate and inheritance of homes. If a family member dies and leaves you a property, there is a high chance you will not be moving in to it, but rather making a decision whether to let it out, renovate or sell. In the time period between death and the solicitors sorting out the implications on tax and awarding ownership, they can insure it with unoccupied insurance. It means the property is safe and secure against loss while the process goes through.
Landlords will need empty property insurance at some point as well, whenever looking for tenants after old tenants have moved out. Empty property insurance can deliver that as well, for any period, and once tenants are found, it can be changed to landlord insurance and in most cases a rebate made or savings realised.
Empty property insurance is simply buildings and contents insurance for a home that is notified as empty without inhabitants. It works the same way as normal home insurance but is usually a bit more expensive as the insurer recognises the risks of an empty property as higher than an inhabited one. That makes sense because without anyone present on a daily basis, problems such as leaks, electrical malfunctions, theft and weather damage are clearly higher.
The good news is if your property is empty for the short term – less than 30-days – then standard buildings and contents insurance should cover it, all you have to do is check your policy. Anything over this time period will normally need specialist empty property insurance.
The less period of vacancy, then the less the price will be to insure the property. It makes sense to buy a policy that can be ported to a home or landlord insurance policy when ready, so bear that in mind when purchasing – ask if any costs associated with the change. A good broker will minimise these.