Unoccupied property insurance explained

To help you decide if unoccupied property insurance is right for you, we've compiled a short guide that explains what it is and how it works.

What is unoccupied property insurance?

Unoccupied property insurance, as the name suggests, is an insurance policy designed to provide cover on a temporary basis only.

When is it useful?

This type of unoccupied property insurance provides cover for buildings and contents and is designed for properties that are left vacant for 30 days or more, such as when the property is:

• Awaiting probate.
• Awaiting sale or occupation.
• Undergoing refurbishment or renovation.
• Vacant due to the occupier’s absence, such as when they have a second home, have been hospitalised or taken into care.

Policies are normally flexible with cover available for a period of 3, 6, 9 or 12 months.

Remember!  Most insurance companies who offer standard buildings and contents insurance policies will not insure properties which are left unoccupied for more than 30 days at a time. If an insurer ceases to provide cover then unoccupied property insurance can provide valuable peace of mind.

What are 'exclusions'?

Exclusions are circumstances or events that prevent or invalidate a claim.

Examples of exclusions on unoccupied property insurance policies include:

• Loss of damage as a result of unforced entry i.e. leaving windows or doors open or unlocked.
• Damage caused by major works e.g. extensions, structural repairs.
• Damage caused by contractors (contractors should have their own insurance).

Remember!  Always check the policy documents for a full list of policy exclusions.