Properties sit empty for all sorts of reasons. A landlord may be waiting for new tenants, a seller may have moved out before completion, a family may be handling a home during probate, or a house may be mid-renovation. Whatever the reason, an empty home faces risks that an occupied one does not, and many owners are surprised to discover that their standard insurance may no longer protect them. Here is what you need to know about keeping an unoccupied property properly covered.
Why empty homes are treated differently
When nobody is living in a property, problems can go unnoticed for days or even weeks. A burst pipe in an occupied home is usually spotted within hours, but in an empty one it can run long enough to bring down ceilings, ruin floors and cause damp throughout the building. Empty homes are also more attractive to thieves, vandals and squatters, and a fire or break-in may not be discovered until significant damage has been done. Because of these risks, insurers see unoccupied properties as a very different proposition from lived-in homes.
The 30-day rule
Most standard home insurance policies contain an unoccupancy clause. This typically limits or removes certain parts of the cover once a property has been empty for a set period, commonly 30 consecutive days, although some policies allow 60 or more. After that point, cover for escape of water, theft, malicious damage and other common claims may be reduced or excluded altogether. Some policies define unoccupied as nobody having slept there overnight, so popping in during the day may not reset the clock. Landlord policies often have similar clauses that apply between tenancies. It is worth checking your policy wording carefully and speaking to your insurer as soon as you know a property will be empty.
What unoccupied property insurance covers
Specialist unoccupied property insurance is designed for homes that will be empty for longer periods. Cover levels vary, and many insurers offer a choice between basic and more comprehensive protection. The most basic level is often known as FLEE cover, which stands for fire, lightning, explosion and earthquake. More extensive policies can add protection against storm and flood, escape of water, theft, malicious damage and accidental damage, along with property owner's liability in case someone is injured on the premises. Policies can usually be arranged for flexible periods, from a few months to a year or more, which suits owners who do not know exactly how long a property will be vacant.
Common situations where cover is needed
Landlords are among the most frequent users of this type of insurance, particularly when a property is empty between tenants or during refurbishment. Homeowners who have moved into a new property before selling their old one often need it too. Executors dealing with a home after a death can find that probate takes many months, leaving the property empty and potentially uninsured if the deceased's policy has lapsed or no longer applies. Others include people moving into long-term care, those working or travelling abroad for an extended time, and owners carrying out major renovation work. Specialist Unoccupied Property Insurance can be tailored to each of these circumstances, giving owners peace of mind while the property is not in everyday use.
Conditions you will need to meet
Unoccupied property policies usually come with conditions, and meeting them is important if you ever need to claim. Insurers commonly ask for:
- Regular inspections, often weekly, with a written record of each visit.
- The water supply turned off at the mains and the system drained, or the heating kept on at a minimum temperature during colder months.
- All doors and windows locked, with any damaged locks or glazing repaired promptly.
- Post and free newspapers cleared so the property does not look obviously empty.
Some insurers also ask for gas supplies to be turned off, for valuables to be removed and for any rubbish or combustible materials to be cleared from the property and garden.
Practical steps to protect an empty home
Beyond the policy conditions, simple measures can make a big difference. A timer switch on lights and a radio can give the impression someone is home. Asking a trusted neighbour to keep an eye on the property adds another layer of protection, as does a monitored alarm system or smart doorbell. Keeping the garden tidy helps avoid the neglected look that attracts unwanted attention. In winter, the risk of frozen pipes is high, so either drain the system fully or ensure the heating runs regularly enough to keep pipes from freezing.
Planning ahead
The most important thing is not to assume your current policy will continue to protect a property once it is empty. Tell your insurer as early as possible and find out exactly when any restrictions start. Arranging suitable cover before the property becomes vacant means there is no gap during which a single burst pipe or break-in could result in a costly uninsured loss.
